Financial Contrast: Goosehead Insurance (NASDAQ:GSHD) versus Aegon (NYSE:AEG)

Goosehead Insurance (NASDAQ:GSHD) and Aegon (NYSE:AEG) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, dividends, profitability, risk and earnings.

Volatility and Risk

Goosehead Insurance has a beta of 1.62, indicating that its share price is 62% more volatile than the S&P 500. Comparatively, Aegon has a beta of 0.85, indicating that its share price is 15% less volatile than the S&P 500.

Insider & Institutional Ownership

4.3% of Aegon shares are held by institutional investors. 38.1% of Goosehead Insurance shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations for Goosehead Insurance and Aegon, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Goosehead Insurance	2	5	7	0	2.36
Aegon	0	4	3	1	2.63

Goosehead Insurance presently has a consensus price target of $67.45, indicating a potential upside of 64.53%. Aegon has a consensus price target of $10.00, indicating a potential upside of 17.03%. Given Goosehead Insurance’s higher possible upside, equities research analysts clearly believe Goosehead Insurance is more favorable than Aegon.

Earnings & Valuation

This table compares Goosehead Insurance and Aegon”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Goosehead Insurance	$365.30 million	4.00	$27.83 million	$1.14	35.96
Aegon	$10.29 billion	1.67	$1.11 billion	($0.16)	-53.41

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

Profitability

This table compares Goosehead Insurance and Aegon’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Goosehead Insurance	7.94%	-20.96%	8.50%
Aegon	N/A	N/A	N/A

Summary

Goosehead Insurance beats Aegon on 9 of the 15 factors compared between the two stocks.

About Goosehead Insurance

Goosehead Insurance, Inc. operates as a holding company for Goosehead Financial, LLC that engages in the provision of personal lines insurance agency services in the United States. The company offers homeowner’s, automotive, dwelling property, flood, wind, earthquake, excess liability or umbrella, motorcycle, recreational vehicle, general liability, property, and life insurance products and services. As of December 31, 2023, it operated 1,415 franchise locations. The company was founded in 2003 and is headquartered in Westlake, Texas.

About Aegon

Aegon Ltd. provides insurance, pensions, retirement, and asset management services in the United States, the Netherlands, the United Kingdom, and internationally. The company offers life, accident, property and casualty, and health insurance; annuities, retirement plans, mutual funds, and stable value solutions; residential mortgage and digital baking services; and retail and institutional investment management solutions and retirement savings vehicles and strategies. It offers its products under the Aegon and Transamerica brands. Aegon Ltd. was founded in 1844 and is headquartered in The Hague, the Netherlands.