Conifer (NASDAQ:CNFR) and American International Group (NYSE:AIG) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, analyst recommendations, risk and valuation.
Earnings & Valuation
This table compares Conifer and American International Group's gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Conifer | $96 million | 0.36 | $-7,820,000.00 | ($1.69) | -2.14 |
American International Group | $49.75 billion | 0.82 | $3.35 billion | $4.59 | 10.26 |
American International Group has higher revenue and earnings than Conifer. Conifer is trading at a lower price-to-earnings ratio than American International Group, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a breakdown of current ratings and recommmendations for Conifer and American International Group, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Conifer | 0 | 1 | 0 | 0 | 2.00 |
American International Group | 0 | 7 | 6 | 0 | 2.46 |
American International Group has a consensus target price of $45.0769, indicating a potential downside of 4.30%. Given American International Group's stronger consensus rating and higher possible upside, analysts plainly believe American International Group is more favorable than Conifer.
Profitability
This table compares Conifer and American International Group's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Conifer | -5.79% | -21.69% | -3.56% |
American International Group | -10.82% | 3.62% | 0.42% |
Risk and Volatility
Conifer has a beta of 1.21, meaning that its stock price is 21% more volatile than the S&P 500. Comparatively, American International Group has a beta of 1.36, meaning that its stock price is 36% more volatile than the S&P 500.
Insider and Institutional Ownership
4.9% of Conifer shares are held by institutional investors. Comparatively, 87.0% of American International Group shares are held by institutional investors. 51.0% of Conifer shares are held by insiders. Comparatively, 0.2% of American International Group shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Summary
American International Group beats Conifer on 11 of the 14 factors compared between the two stocks.