FBL Financial Group (NYSE: FFG) and Security National Financial (NASDAQ:SNFCA) are both small-cap finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, dividends, institutional ownership, valuation, risk, analyst recommendations and earnings.

Dividends

FBL Financial Group pays an annual dividend of $1.76 per share and has a dividend yield of 2.5%. Security National Financial does not pay a dividend. FBL Financial Group pays out 39.2% of its earnings in the form of a dividend. Security National Financial has raised its dividend for 4 consecutive years.

Earnings & Valuation

This table compares FBL Financial Group and Security National Financial’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
FBL Financial Group $726.41 million 2.42 $107.22 million $4.49 15.71
Security National Financial $307.21 million 0.26 $12.18 million $0.44 11.48

FBL Financial Group has higher revenue and earnings than Security National Financial. Security National Financial is trading at a lower price-to-earnings ratio than FBL Financial Group, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current recommendations and price targets for FBL Financial Group and Security National Financial, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
FBL Financial Group 0 1 0 0 2.00
Security National Financial 0 0 0 0 N/A

Profitability

This table compares FBL Financial Group and Security National Financial’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
FBL Financial Group 15.30% 8.93% 1.12%
Security National Financial 2.37% 5.03% 0.70%

Insider and Institutional Ownership

27.8% of FBL Financial Group shares are owned by institutional investors. Comparatively, 8.5% of Security National Financial shares are owned by institutional investors. 0.6% of FBL Financial Group shares are owned by company insiders. Comparatively, 18.2% of Security National Financial shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Volatility and Risk

FBL Financial Group has a beta of 0.89, meaning that its share price is 11% less volatile than the S&P 500. Comparatively, Security National Financial has a beta of 0.35, meaning that its share price is 65% less volatile than the S&P 500.

Summary

FBL Financial Group beats Security National Financial on 11 of the 14 factors compared between the two stocks.

About FBL Financial Group

FBL Financial Group, Inc. sells individual life insurance and annuity products under the brand name of Farm Bureau Financial Services. The Company’s segments are Annuity Segment, which sells a variety of traditional annuity products; Life Insurance Segment, which sells a range of traditional and universal life insurance products, and Corporate and Other segment, which provides various support operations, corporate capital and other product lines. It also offers life and annuity products through its subsidiary, Greenfields Life Insurance Company. Its other subsidiaries support various functional areas and affiliates by providing investment advisory and marketing and distribution services. It manages all aspects of two Farm Bureau affiliated property-casualty insurance companies, Farm Bureau Property & Casualty Insurance Company and Western Agricultural Insurance Company.

About Security National Financial

Security National Financial Corporation is a holding company. The Company operates through three segments: life insurance, cemetery and mortuary, and mortgage loans. The life insurance segment is engaged in the business of selling and servicing selected lines of life insurance, annuity products, and accident and health insurance. The cemetery and mortuary segment consists of approximately seven mortuaries and five cemeteries in the state of Utah and a cemetery in the state of California. The mortgage loan segment originates and underwrites or otherwise purchases residential and commercial loans for new construction, existing homes and real estate projects. The Company is also engaged in pre-need selling of funeral, cemetery, mortuary and cremation services through its Utah and California operations. It also sells pre-need funeral, cemetery and cremation services.

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