Contrasting Maiden (NASDAQ:MHLD) and The Hartford Financial Services Group (NYSE:HIG)

Maiden (NASDAQ:MHLD) and The Hartford Financial Services Group (NYSE:HIG) are both finance companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, dividends, earnings, valuation, profitability, risk and institutional ownership.

Analyst Ratings

This is a breakdown of current ratings for Maiden and The Hartford Financial Services Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Maiden	0	0	0	0	0.00
The Hartford Financial Services Group	0	9	8	1	2.56

The Hartford Financial Services Group has a consensus target price of $122.94, indicating a potential upside of 9.40%. Given The Hartford Financial Services Group’s stronger consensus rating and higher probable upside, analysts clearly believe The Hartford Financial Services Group is more favorable than Maiden.

Valuation and Earnings

This table compares Maiden and The Hartford Financial Services Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Maiden	$89.23 million	1.15	-$38.57 million	($0.65)	-1.58
The Hartford Financial Services Group	$26.38 billion	1.23	$3.11 billion	$10.35	10.86

The Hartford Financial Services Group has higher revenue and earnings than Maiden. Maiden is trading at a lower price-to-earnings ratio than The Hartford Financial Services Group, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Maiden and The Hartford Financial Services Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Maiden	-71.58%	-16.55%	-2.70%
The Hartford Financial Services Group	11.72%	19.55%	3.88%

Insider & Institutional Ownership

21.8% of Maiden shares are held by institutional investors. Comparatively, 93.4% of The Hartford Financial Services Group shares are held by institutional investors. 8.2% of Maiden shares are held by insiders. Comparatively, 1.6% of The Hartford Financial Services Group shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Volatility and Risk

Maiden has a beta of 1.18, meaning that its stock price is 18% more volatile than the S&P 500. Comparatively, The Hartford Financial Services Group has a beta of 0.97, meaning that its stock price is 3% less volatile than the S&P 500.

Summary

The Hartford Financial Services Group beats Maiden on 13 of the 15 factors compared between the two stocks.

About Maiden

Maiden Holdings, Ltd., through its subsidiaries, provides property and casualty insurance and reinsurance solutions to regional and specialty insurers in Europe, North America, and internationally. It operates in two segments, Diversified Reinsurance and AmTrust Reinsurance. The company writes treaties on a quota share basis and excess of loss basis. It also offers auto and credit life insurance products through its insurer partners to retail clients; and underwrites risks on a retroactive basis, which provides a range of legacy services to small insurance entities. Maiden Holdings, Ltd. was founded in 2007 and is headquartered in Pembroke, Bermuda.

About The Hartford Financial Services Group

The Hartford Financial Services Group, Inc., together with its subsidiaries, provides insurance and financial services to individual and business customers in the United States, the United Kingdom, and internationally. Its Commercial Lines segment offers insurance coverages, including workers' compensation, property, automobile, general and professional liability, package business, umbrella, fidelity and surety, marine, livestock, accident, health, and reinsurance through regional offices, branches, sales and policyholder service centers, independent retail agents and brokers, wholesale agents, and reinsurance brokers. The company's Personal Lines segment provides automobile, homeowners, and personal umbrella coverages through direct-to-consumer channels and independent agents. Its Property & Casualty Other Operations segment offers coverage for asbestos and environmental exposures. The company's Group Benefits segment provides group life, disability, and other group coverages to members of employer groups, associations, and affinity groups through direct insurance policies; reinsurance to other insurance companies; employer paid and voluntary product coverages; disability underwriting, administration, and claims processing to self-funded employer plans; and leave management solution. This segment also distributes its group insurance products and services through brokers, consultants, third-party administrators, trade associations, and private exchanges. Its Hartford Funds segment offers managed mutual funds across various asset classes; and exchange-traded funds through broker-dealer organizations, independent financial advisers, defined contribution plans, financial consultants, bank trust groups, and registered investment advisers, as well as investment management, distribution, and administrative services, such as product design, implementation, and oversight. The company was founded in 1810 and is headquartered in Hartford, Connecticut.