American Financial vs Hanover Insurance
AFG and THG side by side, both in fire, marine, and casualty insurance. Figures are trailing twelve months unless noted, from SEC filings and end-of-day prices.
How AFG and THG compare
American Financial is the larger company, worth 1.6 times as much as Hanover Insurance ($13.4B against $8.5B).
On earnings, Hanover Insurance is cheaper: it trades at 11.9× trailing earnings, against 13.1× for American Financial.
Hanover Insurance grew revenue faster over the last twelve months (5.0% versus 3.3% for American Financial).
American Financial keeps more of each dollar of sales as profit, with a net margin of 12.0% compared with 11.0% at Hanover Insurance.
Both pay dividends: American Financial yields 2.2% and Hanover Insurance 1.5%.
Hanover Insurance scores higher on the StockData Score (14 against 9 for American Financial), which adds up 30 checks on valuation, growth, past performance, financial health and dividends.
Key numbers
A dot marks the better figure where higher or lower is clearly better.
| Metric | AFG | THG |
|---|---|---|
| Size and price | ||
| Market cap | $13.4B | $8.5B |
| Share price | $161.02 | $248.26 |
| Change, 1 year | 13.4% | 36.1% |
| Change, 5 years | 14.6% | 97.0% |
| Beta (5Y) | 0.55 | 0.40 |
| Employees | 8,500 | 4,900 |
| StockData Score | ||
| Total score | 9 | 14 (better) |
| Valuation score | 0 | 2 (better) |
| Growth score | 2 | 2 |
| Performance score | 4 | 4 |
| Health score | 1 | 3 (better) |
| Dividend score | 2 | 3 (better) |
| Valuation | ||
| P/E | 13.1× | 11.9× (better) |
| P/S | 1.6× | 1.2× (better) |
| P/B | 2.8× | 2.5× (better) |
| EV/EBITDA | 8.7× | 7.8× (better) |
| P/FCF | – | 7.0× |
| PEG | – | 0.15 |
| FCF yield | – | 14.3% |
| Fair value | $128.03 | $216.63 |
| Margin of safety | −25.8% | −14.6% (better) |
| Growth | ||
| Revenue growth (TTM) | 3.3% | 5.0% (better) |
| Revenue growth, 5Y average | 7.2% (better) | 6.4% |
| Net income growth (TTM) | 27.8% (better) | 18.6% |
| EPS growth (TTM) | 28.8% (better) | 20.6% |
| EPS growth, 5Y average | 4.2% | 14.0% (better) |
| Profitability | ||
| Operating margin | 15.2% (better) | 15.2% |
| Net margin | 12.0% (better) | 11.0% |
| FCF margin | – | 17.8% |
| Return on equity | 21.6% | 21.8% (better) |
| Return on invested capital | 32.6% (better) | 27.2% |
| Financial health | ||
| Debt / equity | – | 0.01 |
| Net debt / EBITDA | – | −0.44 |
| Interest coverage | 13.9× | 22.8× (better) |
| Altman Z-score | 0.62 | 1.32 (better) |
| Piotroski F-score | 5 | 6 (better) |
| Dividends and buybacks | ||
| Dividend yield | 2.2% (better) | 1.5% |
| Payout ratio | 57.1% | 17.8% |
| Years of dividend growth | 0 | – |
| Dividend growth, 5Y average | 13.6% | – |
| Buyback yield | 0.77% | 3.3% (better) |
| Shareholder yield | 3.0% | 4.8% (better) |
| Ownership | ||
| Held by institutions | 69.9% | 93.2% |
| Held by insiders | 8.8% | 1.2% |
| Insider net buying, 12 months | −$15.8M (better) | −$18.4M |
| Superinvestors holding | – | 1 |
| Short interest, % of float | – | 2.8% |
Go deeper
- AFG stock overview
- AFG income statement
- AFG valuation and score
- THG stock overview
- THG income statement
- THG valuation and score
Other comparisons
For information only, not investment advice. Check the source filings before relying on any figure.