Heritage Insurance (HRTG) & Its Rivals Critical Analysis

Heritage Insurance (NYSE:HRTG) is one of 311 public companies in the “Insurance” industry, but how does it weigh in compared to its rivals? We will compare Heritage Insurance to related companies based on the strength of its risk, profitability, valuation, dividends, analyst recommendations, earnings and institutional ownership.

Risk and Volatility

Heritage Insurance has a beta of 0.99, suggesting that its stock price is 1% less volatile than the S&P 500. Comparatively, Heritage Insurance’s rivals have a beta of -1.59, suggesting that their average stock price is 259% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Heritage Insurance	25.07%	39.41%	9.67%
Heritage Insurance Competitors	8.64%	-9.90%	4.10%

Earnings & Valuation

This table compares Heritage Insurance and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Heritage Insurance	$847.33 million	$195.59 million	4.75
Heritage Insurance Competitors	$15.27 billion	$1.70 billion	33.69

Heritage Insurance’s rivals have higher revenue and earnings than Heritage Insurance. Heritage Insurance 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.

Insider and Institutional Ownership

59.0% of Heritage Insurance shares are owned by institutional investors. Comparatively, 55.9% of shares of all “Insurance” companies are owned by institutional investors. 9.2% of Heritage Insurance shares are owned by company insiders. Comparatively, 13.4% of shares of all “Insurance” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Heritage Insurance and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Heritage Insurance	0	3	3	0	2.50
Heritage Insurance Competitors	3347	15715	16565	747	2.40

Heritage Insurance presently has a consensus price target of $37.50, indicating a potential upside of 11.04%. As a group, “Insurance” companies have a potential upside of 4.36%. Given Heritage Insurance’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Heritage Insurance is more favorable than its rivals.

Summary

Heritage Insurance beats its rivals on 8 of the 13 factors compared.

Heritage Insurance Company Profile

Heritage Insurance Holdings, Inc. is a property and casualty insurance holding company headquartered in Florida. Through its insurance subsidiaries, the company provides coverage primarily for residential properties, including homeowners, condominium, and dwelling fire policies, as well as insurance for commercial residential properties. Heritage serves customers in Florida and a range of other U.S. markets through regional insurance companies, including subsidiaries focused on the Northeast and Hawaii.