Critical Comparison: Swiss Re (SSREF) vs. Its Competitors

Earnings & Valuation

This table compares Swiss Re and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Swiss Re	N/A	N/A	14.30
Swiss Re Competitors	$15.42 billion	$1.69 billion	33.64

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

Dividends

Swiss Re pays an annual dividend of $4.36 per share and has a dividend yield of 2.6%. Swiss Re pays out 37.0% of its earnings in the form of a dividend. As a group, “Insurance” companies pay a dividend yield of 3.0% and pay out 29.8% of their earnings in the form of a dividend. Swiss Re lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Swiss Re	N/A	N/A	N/A
Swiss Re Competitors	9.71%	10.83%	3.98%

Insider and Institutional Ownership

24.3% of Swiss Re 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 large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Swiss Re rivals beat Swiss Re on 9 of the 9 factors compared.

About Swiss Re

Swiss Re AG, together with its subsidiaries, provides wholesale reinsurance, insurance, other insurance-based forms of risk transfer, and other insurance-related services worldwide. The company operates through three segments: Property & Casualty Reinsurance, Life & Health Reinsurance, and Corporate Solutions. The Property & Casualty Reinsurance segment underwrites property reinsurance, including property, credit and surety, engineering, aviation, marine, agriculture, retakaful, and facultative reinsurance solutions; and casualty reinsurance, such as liability, motor, worker’s compensation, personal accident, management and professional liability, cyber, and facultative reinsurance solutions. The Life & Health Reinsurance segment underwrites life and health insurance products. The Corporate Solutions segment offers standard risk transfer covers and multi-line programs to customized solutions. It serves stock and mutual insurance companies, public sector and governmental entities, mid-sized and large corporations, and individuals. The company was founded in 1863 and is headquartered in Zurich, Switzerland.