Financial Analysis: Heritage Insurance (NYSE:HRTG) vs. Topdanmark A/S (OTCMKTS:TPDKY)

Topdanmark A/S (OTCMKTS:TPDKY) and Heritage Insurance (NYSE:HRTG) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, dividends, risk, profitability, earnings and institutional ownership.

Earnings and Valuation

This table compares Topdanmark A/S and Heritage Insurance”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Topdanmark A/S	N/A	N/A	N/A	$1.35	3.96
Heritage Insurance	$847.33 million	1.19	$195.59 million	$7.02	4.83

Heritage Insurance has higher revenue and earnings than Topdanmark A/S. Topdanmark A/S is trading at a lower price-to-earnings ratio than Heritage Insurance, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Topdanmark A/S and Heritage Insurance’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Topdanmark A/S	N/A	N/A	N/A
Heritage Insurance	25.19%	42.41%	9.53%

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Topdanmark A/S and Heritage Insurance, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Topdanmark A/S	0	0	0	0	0.00
Heritage Insurance	0	1	3	1	3.00

Heritage Insurance has a consensus target price of $36.50, suggesting a potential upside of 7.61%. Given Heritage Insurance’s stronger consensus rating and higher probable upside, analysts clearly believe Heritage Insurance is more favorable than Topdanmark A/S.

Insider & Institutional Ownership

0.1% of Topdanmark A/S shares are owned by institutional investors. Comparatively, 59.0% of Heritage Insurance shares are owned by institutional investors. 9.2% of Heritage Insurance shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Heritage Insurance beats Topdanmark A/S on 12 of the 12 factors compared between the two stocks.

About Topdanmark A/S

Topdanmark A/S, together with its subsidiaries, offers life and non-life insurance products and services in Denmark. The company operates through Private and SME segments. It offers illness and accident, health, workers' compensation, motor, fire and property, liability, tourist assistance, and other insurance products, as well as life insurance and pension fund schemes to individual households, agricultural and SME businesses, and private customers under the Topdanmark brands. The company provides IT, investments, health care, and property services. Topdanmark A/S was founded in 1728 and is headquartered in Ballerup, Denmark.

About Heritage Insurance

Heritage Insurance Holdings, Inc., through its subsidiaries, provides personal and commercial residential insurance products. The company offers personal residential insurance in Alabama, California, Connecticut, Delaware, Florida, Georgia, Hawaii, Maryland, Massachusetts, Mississippi, New Jersey, New York, North Carolina, Rhode Island, South Carolina, and Virginia; commercial residential insurance for properties in Florida, New Jersey, and New York; and licensed in the state of Pennsylvania, as well as personal residential and wind-only property insurance. It also provides restoration, emergency, and recovery services; property management, and reinsurance services; homeowners insurance products, including single-family, homeowners or duplex, and condominium owners; and dwelling fire insurance policies. In addition, the company provides personal line policies through a network of retail independent agents, wholesale agents, and a partnership with a direct agency, as well as distribute indirectly to retail locations through wholesale agency relationships. Further, it offers personal and commercial insurance policies through a network of independent agencies. The company was founded in 2012 and is headquartered in Tampa, Florida.