Contrasting TWFG (NASDAQ:TWFG) and Crawford & Company (NYSE:CRD.B)

TWFG (NASDAQ:TWFG) and Crawford & Company (NYSE:CRD.B) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, valuation, institutional ownership, risk, profitability, analyst recommendations and dividends.

Profitability

This table compares TWFG and Crawford & Company’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TWFG	N/A	N/A	N/A
Crawford & Company	1.55%	22.34%	4.18%

Institutional & Insider Ownership

11.0% of Crawford & Company shares are held by institutional investors. 66.5% of TWFG shares are held by insiders. Comparatively, 51.0% of Crawford & Company 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.

Analyst Recommendations

This is a summary of current ratings and target prices for TWFG and Crawford & Company, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TWFG	0	4	5	0	2.56
Crawford & Company	0	0	0	0	0.00

TWFG presently has a consensus target price of $33.00, suggesting a potential upside of 1.66%. Given TWFG’s stronger consensus rating and higher possible upside, equities research analysts clearly believe TWFG is more favorable than Crawford & Company.

Valuation & Earnings

This table compares TWFG and Crawford & Company”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TWFG	$193.72 million	9.40	$26.10 million	N/A	N/A
Crawford & Company	$1.35 billion	0.40	$30.61 million	$0.60	18.17

Crawford & Company has higher revenue and earnings than TWFG.

Summary

Crawford & Company beats TWFG on 6 of the 11 factors compared between the two stocks.

About TWFG

TWFG, Inc. operates an independent distribution platform for personal and commercial insurance products in the United States. Its personal and commercial insurance products include auto, home, renters, life, health, motorcycle, umbrella, boat, recreational vehicle, flood, wind, event, luxury item, general liability, property, business auto, workers’ compensation, business owner policy, and professional liability insurance products, as well as commercial bonds and group benefits. The company was founded in 2001 and is based in The Woodlands, Texas. TWFG, Inc. operates as a subsidiary of Bunch Family Holdings, LLC.

About Crawford & Company

Crawford & Co. engages in the provision of claims management and outsourcing solutions to carriers, brokers, and corporates. It operates through the following segments: Crawford Loss Adjusting, Crawford TPA Solutions, and Crawford Platform Solutions. The Crawford Loss Adjusting segment consists of adjusting services provided to insurance companies and self-insured entities related to property and casualty losses caused by physical damage to commercial and residential real property and certain types of personal property. The Crawford TPA Solutions segment provides third party administration for workers’ compensation, auto and liability, disability absence management, medical management, and accident and health to corporations, brokers, and insurers worldwide. The Crawford Platform Solutions segment is involved in the management of contractor networks and the provision of claims management services to insurance companies and self-insured entities related to property, casualty, and catastrophic losses. The company was founded by Jim Crawford in 1941 and is headquartered in Peachtree Corners, GA.