SiriusPoint (NYSE:SPNT) vs. Investors Title (NASDAQ:ITIC) Financial Analysis

SiriusPoint (NYSE:SPNT) and Investors Title (NASDAQ:ITIC) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, valuation, profitability, risk, dividends, earnings and analyst recommendations.

Institutional & Insider Ownership

52.8% of SiriusPoint shares are held by institutional investors. Comparatively, 41.4% of Investors Title shares are held by institutional investors. 12.2% of SiriusPoint shares are held by company insiders. Comparatively, 26.0% of Investors Title shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares SiriusPoint and Investors Title’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SiriusPoint	15.56%	15.65%	2.76%
Investors Title	13.80%	14.62%	11.02%

Volatility and Risk

SiriusPoint has a beta of 0.59, suggesting that its share price is 41% less volatile than the S&P 500. Comparatively, Investors Title has a beta of 0.6, suggesting that its share price is 40% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and price targets for SiriusPoint and Investors Title, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SiriusPoint	0	3	2	1	2.67
Investors Title	0	0	1	0	3.00

SiriusPoint presently has a consensus target price of $30.50, suggesting a potential upside of 24.03%. Given SiriusPoint’s higher possible upside, equities analysts plainly believe SiriusPoint is more favorable than Investors Title.

Valuation and Earnings

This table compares SiriusPoint and Investors Title”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SiriusPoint	$3.21 billion	0.89	$459.60 million	$4.10	6.00
Investors Title	$272.76 million	2.05	$35.18 million	$21.35	13.87

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

Summary

SiriusPoint beats Investors Title on 8 of the 15 factors compared between the two stocks.

About SiriusPoint

SiriusPoint Ltd. provides multi-line insurance and reinsurance products and services worldwide. The company operates through two segments, Reinsurance, and Insurance & Services. The Reinsurance segment provides aviation and space, accident and health, casualty, credit, marine and energy, property to insurance and reinsurance companies, government entities, and other risk bearing vehicles. This segment offers medical insurance products, trip cancellation programs, medical management services, and 24/7 emergency medical and travel assistance services. The Insurance & Services segment provides accident and health, marine and energy, property and casualty, mortgage, environmental, workers' compensation, commercial auto lines, professional liability, and other lines of business. The company was formerly known as Third Point Reinsurance Ltd. and changed its name to SiriusPoint Ltd. in February 2021. SiriusPoint Ltd. was incorporated in 2011 and is headquartered in Pembroke, Bermuda.

About Investors Title

Investors Title Company engages in the issuance of residential and commercial title insurance for residential, institutional, commercial, and industrial properties. The company underwrites land title insurance for owners and mortgagees as a primary insurer; and assumes the reinsurance of title insurance risks from other title insurance companies. It offers services in connection with tax-deferred exchanges of like-kind property; acts as a qualified intermediary in tax-deferred exchanges of property; coordinates the exchange aspects of the real estate transaction, such as drafting standard exchange documents, holding the exchange funds between the sale of the old property and the purchase of the new property, and accepting the formal identification of the replacement property. In addition, it serves as an exchange accommodation titleholder for accomplishing reverse exchanges when the taxpayers decide to acquire replacement property before selling the relinquished property. Further, the company offers investment management and trust services to individuals, companies, banks, and trusts; and consulting and management services to clients to start and operate a title insurance agency. It issues title insurance policies directly and through a network of agents in 22 states and the District of Columbia, primarily in the eastern half of the United States. Investors Title Company was founded in 1972 and is headquartered in Chapel Hill, North Carolina.