Contrasting Gjensidige Forsikring ASA (OTCMKTS:GJNSY) & Unico American (NASDAQ:UNAM)

Unico American (NASDAQ:UNAM) and Gjensidige Forsikring ASA (OTCMKTS:GJNSY) are both financial services companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, profitability, analyst recommendations, dividends, earnings, risk and valuation.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Unico American and Gjensidige Forsikring ASA, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Unico American	0	0	0	0	N/A
Gjensidige Forsikring ASA	0	1	2	0	2.67

Insider & Institutional Ownership

0.4% of Unico American shares are owned by institutional investors. Comparatively, 0.0% of Gjensidige Forsikring ASA shares are owned by institutional investors. 44.4% of Unico American shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Unico American and Gjensidige Forsikring ASA’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Unico American	$15.48 million	0.00	-$5.67 million	($2.43)	0.00
Gjensidige Forsikring ASA	N/A	N/A	N/A	$8.72	1.78

Gjensidige Forsikring ASA has lower revenue, but higher earnings than Unico American. Unico American is trading at a lower price-to-earnings ratio than Gjensidige Forsikring ASA, indicating that it is currently the more affordable of the two stocks.

Dividends

Unico American pays an annual dividend of $1.20 per share and has a dividend yield of 70,588.2%. Gjensidige Forsikring ASA pays an annual dividend of $10.70 per share and has a dividend yield of 69.0%. Unico American pays out -49.4% of its earnings in the form of a dividend. Gjensidige Forsikring ASA pays out 122.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Unico American is clearly the better dividend stock, given its higher yield and lower payout ratio.

Profitability

This table compares Unico American and Gjensidige Forsikring ASA’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Unico American	N/A	N/A	N/A
Gjensidige Forsikring ASA	N/A	N/A	N/A

Summary

Unico American beats Gjensidige Forsikring ASA on 5 of the 8 factors compared between the two stocks.

About Unico American

Unico American Corporation, an insurance holding company, underwrites property and casualty insurance in Arizona, California, Nevada, Oregon, and Washington. The company offers property, casualty, health, and life insurance products, as well as insurance premium financing and membership association services. Its commercial property coverage insures against loss or damage to buildings, inventory, and equipment from natural disasters, including hurricanes, windstorms, hail, water, explosions, and severe winter weather, as well as other events, such as theft and vandalism, fires, storms, and financial loss due to business interruption resulting from covered property damage. The company also offers commercial liability coverage that insures against third party liability from accidents occurring on the insured's premises or arising out of its operation; and writes policies to insure commercial property and commercial liability risks on a mono-line basis. In addition, it provides group dental, vision, and life insurance policies. Unico American Corporation markets its insurance products primarily through a network of independent brokers and agents. The company was incorporated in 1969 and is headquartered in Calabasas, California.

About Gjensidige Forsikring ASA

Gjensidige Forsikring ASA provides general insurance and pension products in Norway, Sweden, Denmark, Latvia, Lithuania, and Estonia. The company operates through six segments: General Insurance Private, General Insurance Commercial, General Insurance Denmark, General Insurance Sweden, General Insurance Baltics, and Pension. It offers motor, accident and health, travel, leisure craft, valuables, liability, commercial, marine/transport, agriculture, natural perils, life, and pet insurance products. The company also provides defined contribution occupational pension schemes for businesses, which include disability pension, spouse/cohabitant pension, and child's pension products. It distributes its products through various distribution channels comprising office channel, call center, Internet, partners, and brokers to private and commercial customers. The company was founded in 1816 and is headquartered in Oslo, Norway.