Hippo (NYSE:HIPO) & Horace Mann Educators (NYSE:HMN) Financial Analysis

Hippo (NYSE:HIPO – Get Rating) and Horace Mann Educators (NYSE:HMN – Get Rating) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their risk, dividends, institutional ownership, earnings, analyst recommendations, profitability and valuation.

Profitability

This table compares Hippo and Horace Mann Educators’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hippo	-278.53%	-39.58%	-17.00%
Horace Mann Educators	-0.19%	4.15%	0.37%

Analyst Ratings

This is a summary of current ratings for Hippo and Horace Mann Educators, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hippo	0	1	3	0	2.75
Horace Mann Educators	0	1	0	0	2.00

Hippo currently has a consensus price target of $33.88, indicating a potential upside of 130.76%. Horace Mann Educators has a consensus price target of $38.00, indicating a potential upside of 11.34%. Given Hippo’s stronger consensus rating and higher probable upside, research analysts plainly believe Hippo is more favorable than Horace Mann Educators.

Volatility & Risk

Hippo has a beta of 0.76, meaning that its share price is 24% less volatile than the S&P 500. Comparatively, Horace Mann Educators has a beta of 0.4, meaning that its share price is 60% less volatile than the S&P 500.

Earnings & Valuation

This table compares Hippo and Horace Mann Educators’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hippo	$119.70 million	2.86	-$333.40 million	($14.65)	-1.00
Horace Mann Educators	$1.38 billion	1.01	-$2.60 million	($0.07)	-487.57

Horace Mann Educators has higher revenue and earnings than Hippo. Horace Mann Educators is trading at a lower price-to-earnings ratio than Hippo, indicating that it is currently the more affordable of the two stocks.

About Hippo

(Get Rating)

Hippo Holdings Inc. provides home protection insurance in the United States and the District of Columbia. Its insurance products include homeowners' insurance against risks of fire, wind, and theft; and commercial and personal lines of products. The company distributes insurance products and services through its technology platform; and offers its policies online, over the phone, or through licensed insurance agents. It provides care and protection for homeowners, as well as operates an integrated home protection platform. The company is headquartered in Palo Alto, California.

About Horace Mann Educators

(Get Rating)

Horace Mann Educators Corp. is an insurance holding company, which engages in the provision of insurance and retirement solutions to educators and school employees. It operates through the following business segments: Property and Casualty, Supplemental, Retirement, Life, and Corporate and Other. The Property and Casualty segment focuses on personal lines of automobile and property insurance products. The Supplemental segment focuses on heart, cancer, accident, and limited short-term supplemental disability coverage. The Retirement segment consists of tax-qualified fixed and variable annuities. The Life segment offers life insurance. The Corporate and Other segment includes interest expense on debt, the impact of realized investment gains and losses and certain public company expenses. The company was founded by Carrol Hall and Leslie Nimmo in 1945 and is headquartered in Springfield, IL.