Critical Comparison: Vienna Insurance Group (OTCMKTS:VNRFY) versus Old Republic International (NYSE:ORI)

Old Republic International (NYSE:ORIGet Free Report) and Vienna Insurance Group (OTCMKTS:VNRFYGet Free Report) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, profitability, risk, analyst recommendations, valuation, institutional ownership and dividends.

Dividends

Old Republic International pays an annual dividend of $0.98 per share and has a dividend yield of 3.6%. Vienna Insurance Group pays an annual dividend of $0.18 per share and has a dividend yield of 3.2%. Old Republic International pays out 46.7% of its earnings in the form of a dividend. Vienna Insurance Group pays out 31.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Old Republic International has increased its dividend for 43 consecutive years. Old Republic International is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Earnings and Valuation

This table compares Old Republic International and Vienna Insurance Group’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Old Republic International $7.26 billion 1.07 $598.70 million $2.10 13.13
Vienna Insurance Group N/A N/A N/A $0.57 9.62

Old Republic International has higher revenue and earnings than Vienna Insurance Group. Vienna Insurance Group is trading at a lower price-to-earnings ratio than Old Republic International, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Old Republic International and Vienna Insurance Group’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Old Republic International 8.25% 12.10% 2.88%
Vienna Insurance Group N/A N/A N/A

Analyst Ratings

This is a summary of current ratings for Old Republic International and Vienna Insurance Group, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Old Republic International 0 1 1 0 2.50
Vienna Insurance Group 0 0 0 0 N/A

Old Republic International presently has a consensus price target of $30.00, indicating a potential upside of 8.79%. Given Old Republic International’s higher possible upside, analysts clearly believe Old Republic International is more favorable than Vienna Insurance Group.

Institutional & Insider Ownership

70.6% of Old Republic International shares are held by institutional investors. 1.0% of Old Republic International shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Old Republic International beats Vienna Insurance Group on 12 of the 13 factors compared between the two stocks.

About Old Republic International

(Get Free Report)

Old Republic International Corporation, through its subsidiaries, engages in the insurance underwriting and related services business primarily in the United States and Canada. It operates through three segments: General Insurance, Title Insurance, and the Republic Financial Indemnity Group Run-off Business. The General Insurance segment offers automobile extended warranty, aviation, commercial automobile, commercial multi-peril, commercial property, general liability, home warranty, inland marine, travel accident, and workers' compensation insurance products; and financial indemnity products for specialty coverages, including errors and omissions, fidelity, guaranteed asset protection, and surety. This segment provides its insurance products to businesses, government, and other institutions in transportation, commercial construction, healthcare, education, retail and wholesale trade, forest products, energy, general manufacturing, and financial services industries. The Title Insurance segment offers lenders' and owners' title insurance policies to real estate purchasers and investors based upon searches of the public records. This segment also provides escrow closing and construction disbursement services; and real estate information products, national default management services, and various other services pertaining to real estate transfers and loan transactions. The Republic Financial Indemnity Group Run-off Business segment offers private mortgage insurance coverage that protects mortgage lenders and investors from default related losses on residential mortgage loans made primarily to homebuyers.The company was founded in 1923 and is based in Chicago, Illinois.

About Vienna Insurance Group

(Get Free Report)

Vienna Insurance Group AG, together with its subsidiaries, provides various insurance products and services in life, health, and property and casualty areas in Austria and internationally. The company offers motor own damage, rail vehicle own damage, aircraft own damage, transport, fire and natural hazards, third party liability, carrier, aircraft liability, general liability, credit, guarantee, legal expenses, assistance, marine, aviation, and travel health insurance products, as well as sea, lake, and river shipping own damage and liability insurance products. It also offers reinsurance products and services. The company sells its products through sales employees, banks, brokers, and agents. Vienna Insurance Group AG was founded in 1824 and is headquartered in Vienna, Austria. Vienna Insurance Group AG operates as a subsidiary of Wiener Städtische Wechselseitige Versicherungsverein РVermögensverwaltung РVienna Insurance Group.

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