Hiscox (HCXLF) vs. Its Peers Critical Contrast

Hiscox (OTCMKTS:HCXLF) is one of 316 publicly-traded companies in the “Insurance” industry, but how does it weigh in compared to its rivals? We will compare Hiscox to similar businesses based on the strength of its valuation, dividends, risk, profitability, analyst recommendations, institutional ownership and earnings.

Insider & Institutional Ownership

59.1% of Hiscox shares are held by institutional investors. Comparatively, 55.8% of shares of all “Insurance” companies are held by institutional investors. 13.8% of shares of all “Insurance” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and target prices for Hiscox and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hiscox	0	0	2	0	3.00
Hiscox Competitors	3192	15225	16030	664	2.40

As a group, “Insurance” companies have a potential upside of 5.33%. Given Hiscox’s rivals higher possible upside, analysts clearly believe Hiscox has less favorable growth aspects than its rivals.

Profitability

This table compares Hiscox and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hiscox	N/A	N/A	N/A
Hiscox Competitors	10.79%	10.80%	3.96%

Dividends

Hiscox pays an annual dividend of $0.08 per share and has a dividend yield of 0.3%. Hiscox pays out 12.3% of its earnings in the form of a dividend. As a group, “Insurance” companies pay a dividend yield of 3.0% and pay out 30.0% of their earnings in the form of a dividend.

Valuation & Earnings

This table compares Hiscox and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Hiscox	N/A	N/A	37.06
Hiscox Competitors	$15.52 billion	$1.69 billion	33.91

Hiscox’s rivals have higher revenue and earnings than Hiscox. Hiscox is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Summary

Hiscox rivals beat Hiscox on 8 of the 13 factors compared.

Hiscox Company Profile

Hiscox Ltd, through its subsidiaries, provides insurance and reinsurance services in the United Kingdom, Europe, the United States, and internationally. The company operates through four segments: Hiscox Retail, Hiscox London Market, Hiscox Re & ILS, and Corporate Centre. It offers commercial insurance for small-and medium-sized businesses; and personal lines cover, including high-value household, fine art, and luxury motor, as well as artwork, antiques, classic cars, jewelry, collectables, and other assets through brokers, partners, and direct-to-consumers. The company also provides property insurance; marine, specialty, and energy insurance; space and aviation insurance; casualty insurance; specialty insurance; terrorism, kidnap, and ransom insurance; and other specialty insurance products. In addition, it offers healthcare and casualty reinsurance services, as well as investment services. Hiscox Ltd was founded in 1901 and is headquartered in Pembroke, Bermuda.