Head-To-Head Contrast: AIX (NASDAQ:AIFU) versus Hagerty (NYSE:HGTY)

AIX (NASDAQ:AIFU) and Hagerty (NYSE:HGTY) are both finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, valuation, dividends, profitability, earnings, analyst recommendations and risk.

Earnings and Valuation

This table compares AIX and Hagerty”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AIX	$2.36 billion	0.01	$39.50 million	$0.73	0.53
Hagerty	$1.16 billion	2.99	$20.23 million	$0.11	92.16

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

Analyst Ratings

This is a breakdown of current recommendations for AIX and Hagerty, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AIX	0	0	0	0	0.00
Hagerty	1	2	0	0	1.67

Hagerty has a consensus target price of $11.00, indicating a potential upside of 8.50%. Given Hagerty’s stronger consensus rating and higher probable upside, analysts plainly believe Hagerty is more favorable than AIX.

Volatility and Risk

AIX has a beta of -0.07, indicating that its stock price is 107% less volatile than the S&P 500. Comparatively, Hagerty has a beta of 0.85, indicating that its stock price is 15% less volatile than the S&P 500.

Profitability

This table compares AIX and Hagerty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AIX	N/A	N/A	N/A
Hagerty	5.27%	12.06%	3.26%

Insider & Institutional Ownership

26.7% of AIX shares are owned by institutional investors. Comparatively, 20.5% of Hagerty shares are owned by institutional investors. 25.6% of AIX shares are owned by insiders. Comparatively, 17.9% of Hagerty shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Hagerty beats AIX on 8 of the 13 factors compared between the two stocks.

About AIX

AIX, Inc. engages in the provision of agency services and insurance claims adjusting services. It operates through the Insurance Agency and Claims Adjusting segments. The Insurance Agency segment includes providing agency services for insurance products and life insurance products. The Claims Adjusting segment provides pre-underwriting survey services, claims adjusting services, disposal of residual value services, loading and unloading supervision services, and consulting services. The company was founded by Yin An Hu and Qiu Ping Lai in 1998 and is headquartered in Guangzhou, China.

About Hagerty

Hagerty, Inc. provides insurance agency services worldwide. It offers motor vehicle and boat insurance products; and reinsurance products. The company provides Hagerty Media, which publishes contents through the Hagerty Drivers Club Magazine (HDC), video content, and social media channels; HDC that offers subscription based products and services, including HDC Magazine, automotive enthusiast events, proprietary vehicle valuation tools, emergency roadside services, and special vehicle-related discounts. In addition, it offers HVT, a valuation tool used by the customer to access current and historic pricing data of collector vehicle models. Further, the company offers Hagerty Garage + Social, a platform that provides clubhouses and car storage facilities. Hagerty, Inc. is headquartered in Traverse City, Michigan.