Head to Head Survey: Hannover Ruck (OTCMKTS:HVRRY) & SelectQuote (NYSE:SLQT)

Hannover Ruck (OTCMKTS:HVRRY) and SelectQuote (NYSE:SLQT) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, valuation, risk, profitability, dividends, earnings and analyst recommendations.

Risk & Volatility

Hannover Ruck has a beta of 0.2, indicating that its share price is 80% less volatile than the S&P 500. Comparatively, SelectQuote has a beta of 1.66, indicating that its share price is 66% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Hannover Ruck and SelectQuote, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hannover Ruck	1	1	0	2	2.75
SelectQuote	1	2	0	1	2.25

SelectQuote has a consensus price target of $3.00, suggesting a potential upside of 309.84%. Given SelectQuote’s higher probable upside, analysts clearly believe SelectQuote is more favorable than Hannover Ruck.

Insider and Institutional Ownership

0.0% of Hannover Ruck shares are owned by institutional investors. Comparatively, 34.6% of SelectQuote shares are owned by institutional investors. 13.1% of SelectQuote shares are owned 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.

Valuation & Earnings

This table compares Hannover Ruck and SelectQuote”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hannover Ruck	$30.30 billion	1.17	$2.99 billion	$4.23	11.56
SelectQuote	$1.53 billion	0.08	$47.58 million	$0.09	8.13

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

Profitability

This table compares Hannover Ruck and SelectQuote’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hannover Ruck	9.33%	18.15%	3.52%
SelectQuote	5.60%	20.49%	5.58%

Summary

Hannover Ruck beats SelectQuote on 8 of the 14 factors compared between the two stocks.

About Hannover Ruck

Hannover Rück SE, together with its subsidiaries, provides reinsurance products and services in Germany, the United Kingdom, France, Europe, the United States, Asia, Australia, Africa, and internationally. It operates through Property & Casualty Reinsurance; and Life & Health Reinsurance segments. The company provides property and casualty reinsurance solutions for agricultural, livestock, and bloodstock; aviation and space; catastrophe XL; credit, surety, and political risks; facultative; and marine and offshore energy businesses, as well as insurance-linked securities and structured reinsurance. It offers risk solutions in the areas of critical illness, disability, health, longevity, long term care, and mortality. In addition, the company offers group life, retirement, lifestyle, credit life, and Takaful reinsurance products. Further, the company provides various financial solutions, including new-business financing; monetization of embedded value; reserve and solvency relief; and reinsurance and solvency II businesses. The company was formerly known as Hannover Rückversicherung AG and changed its name to Hannover Rück SE in March 2013. Hannover Rück SE was founded in 1966 and is based in Hanover, Germany. Hannover Rück SE operates as a subsidiary of Talanx AG.

About SelectQuote

SelectQuote, Inc. operates a technology-enabled, direct-to-consumer distribution platform that sells a range of insurance products and healthcare services in the United States. The company operates through three segments: Senior; Life; and Auto & Home. It distributes senior health policies, such as medicare advantage, medicare supplement, medicare part D, and other ancillary senior health insurance related products, including prescription drugs, dental, vision, and hearing plans; life insurance products, such as term life, final expense, and other ancillary products, including critical illness, accidental death, and juvenile insurance; homeowners, auto, dwelling fire, and other ancillary insurance products; and non-commercial auto and home property, and casualty policies. The company also provides SelectRx, an accredited patient-centered pharmacy home pharmacy, which offers essential prescription medications, OTC medications, customized medication packaging, medication therapy management, and long-term pharmacy care; and population health that helps members understand the benefits available under their health plans, and contracts with insurance carriers. SelectQuote, Inc. was incorporated in 1999 and is headquartered in Overland Park, Kansas.