Reviewing AXIS Capital (NYSE:AXS) and Hamilton Insurance Group (NYSE:HG)

AXIS Capital (NYSE:AXS) and Hamilton Insurance Group (NYSE:HG) are both finance companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, risk, earnings, dividends, institutional ownership, valuation and profitability.

Profitability

This table compares AXIS Capital and Hamilton Insurance Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AXIS Capital	11.28%	19.70%	3.07%
Hamilton Insurance Group	21.45%	21.77%	6.52%

Analyst Ratings

This is a summary of recent recommendations for AXIS Capital and Hamilton Insurance Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AXIS Capital	1	0	4	0	2.60
Hamilton Insurance Group	0	1	6	0	2.86

AXIS Capital presently has a consensus target price of $80.50, suggesting a potential upside of 3.66%. Hamilton Insurance Group has a consensus target price of $21.29, suggesting a potential upside of 19.31%. Given Hamilton Insurance Group’s stronger consensus rating and higher possible upside, analysts clearly believe Hamilton Insurance Group is more favorable than AXIS Capital.

Insider and Institutional Ownership

93.4% of AXIS Capital shares are held by institutional investors. Comparatively, 29.2% of Hamilton Insurance Group shares are held by institutional investors. 0.5% of AXIS Capital shares are held by insiders. Comparatively, 2.7% of Hamilton Insurance Group shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares AXIS Capital and Hamilton Insurance Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AXIS Capital	$5.64 billion	1.16	$376.29 million	$6.54	11.87
Hamilton Insurance Group	$1.57 billion	1.16	$258.73 million	$3.29	5.42

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

Summary

Hamilton Insurance Group beats AXIS Capital on 7 of the 13 factors compared between the two stocks.

About AXIS Capital

AXIS Capital Holdings Limited, through its subsidiaries, provides various specialty insurance and reinsurance products in Bermuda, the United States, and internationally. It operates through two segments, Insurance and Reinsurance. The Insurance segment offers professional insurance products that cover directors' and officers' liability, errors and omissions, employment practices, fiduciary, crime, professional indemnity, medical malpractice, and other financial insurance related coverages for commercial enterprises, financial institutions, not-for-profit organizations, and other professional service providers; and property insurance products for commercial buildings, residential premises, construction projects, property in transit, onshore renewable energy installations, and physical damage and business interruption following an act of terrorism. This segment also provides marine and aviation insurance services for offshore energy, renewable offshore energy, cargo, liability, including kidnap and ransom, fine art, specie, and hull war, hull and liability, and specific war coverage for passenger airlines, cargo operations, general aviation operations, airports, aviation authorities, security firms, and product manufacturers; personal accident, travel insurance, specialty health products for employer and affinity groups, and pet insurance products; and liability, cyber, and credit and political risk insurance services. The Reinsurance segment offers agriculture, marine and aviation, catastrophe, accidental and health, credit and surety, motor, professional, travel, life, engineering, property, and liability reinsurance products. AXIS Capital Holdings Limited was founded in 2001 and is headquartered in Pembroke, Bermuda.

About Hamilton Insurance Group

Hamilton Insurance Group, Ltd., through its subsidiaries, provides underwriting specialty insurance and reinsurance risks in Bermuda and internationally. The company operates Hamilton Global Specialty, Hamilton Select, and Hamilton Re underwriting platforms. The company offers casualty reinsurance products, such as commercial motor, general liability, healthcare, multiline, personal motor, professional liability, umbrella and excess casualty, and worker's compensation and employer's liability reinsurance; property reinsurance and insurance; and specialty reinsurance solutions, including accident and health, aviation and space, crisis management, mortgage, financial lines, marine and energy, and multiline specialty. In addition, it offers accident and health, cyber, energy, environmental, financial lines, fine art and specie, kidnap and ransom, mergers and acquisitions, marine and energy liability, political risk and violence, professional liability, property binders, property direct and facultative, professional lines, space, upstream energy, excess casualty, war and terrorism, allied medical, management liability, medical professionals, general liability, products liability and contractors, and small business casualty insurance plans, as well as surety and treaty reinsurance products. The company was incorporated in 2013 and is headquartered in Pembroke, Bermuda.