Kemper (NYSE:KMPR) versus TWFG (NASDAQ:TWFG) Financial Survey

TWFG (NASDAQ:TWFG) and Kemper (NYSE:KMPR) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, valuation, risk, profitability, analyst recommendations, earnings and institutional ownership.

Profitability

This table compares TWFG and Kemper’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TWFG	2.87%	8.74%	7.27%
Kemper	5.13%	11.48%	2.60%

Analyst Ratings

This is a breakdown of current ratings and recommmendations for TWFG and Kemper, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TWFG	2	3	4	0	2.22
Kemper	4	1	2	0	1.71

TWFG currently has a consensus price target of $32.86, indicating a potential upside of 27.11%. Kemper has a consensus price target of $56.67, indicating a potential upside of 46.45%. Given Kemper’s higher possible upside, analysts plainly believe Kemper is more favorable than TWFG.

Volatility & Risk

TWFG has a beta of 0.11, suggesting that its stock price is 89% less volatile than the S&P 500. Comparatively, Kemper has a beta of 1.15, suggesting that its stock price is 15% more volatile than the S&P 500.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TWFG	$203.76 million	7.13	$2.74 million	$0.44	58.75
Kemper	$4.64 billion	0.49	$317.80 million	$3.83	10.10

Kemper has higher revenue and earnings than TWFG. Kemper is trading at a lower price-to-earnings ratio than TWFG, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

86.2% of Kemper shares are held by institutional investors. 66.5% of TWFG shares are held by company insiders. Comparatively, 6.2% of Kemper shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Kemper beats TWFG on 8 of the 14 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 Kemper

Kemper Corporation, a diversified insurance holding company, engages in the provision of insurance products to individuals and businesses in the United States. The company operates through three segments: Specialty Property & Casualty Insurance, Preferred Property & Casualty Insurance, and Life & Health Insurance. It provides preferred and specialty automobile, homeowners, renters, fire, umbrella, general liability, and various other property and casualty insurance to individuals, as well as commercial automobile insurance to businesses. The company also offers life insurance, including permanent and term insurance; and supplemental accident and health insurance products, such as Medicare supplement insurance, fixed hospital indemnity, home health care, specified disease, and accident-only plans to individuals in rural, suburban, and urban areas. It distributes its products through independent agents and brokers. The company was formerly known as Unitrin, Inc. and changed its name to Kemper Corporation in August 2011. Kemper Corporation was incorporated in 1990 and is headquartered in Chicago, Illinois.