Critical Survey: UTG (UTGN) versus Its Rivals

UTG (OTCMKTS:UTGNGet Rating) is one of 43 public companies in the “Life insurance” industry, but how does it compare to its peers? We will compare UTG to related businesses based on the strength of its analyst recommendations, profitability, earnings, risk, dividends, valuation and institutional ownership.

Profitability

This table compares UTG and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
UTG 49.14% 12.34% 4.28%
UTG Competitors 8.62% 7.49% 0.90%

Institutional & Insider Ownership

50.5% of shares of all “Life insurance” companies are owned by institutional investors. 70.6% of UTG shares are owned by insiders. Comparatively, 13.0% of shares of all “Life insurance” companies 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.

Volatility and Risk

UTG has a beta of 0.03, meaning that its share price is 97% less volatile than the S&P 500. Comparatively, UTG’s peers have a beta of 0.86, meaning that their average share price is 14% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for UTG and its peers, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
UTG 0 0 0 0 N/A
UTG Competitors 312 1924 1735 55 2.38

As a group, “Life insurance” companies have a potential upside of 241.29%. Given UTG’s peers higher probable upside, analysts clearly believe UTG has less favorable growth aspects than its peers.

Earnings & Valuation

This table compares UTG and its peers revenue, earnings per share and valuation.

Gross Revenue Net Income Price/Earnings Ratio
UTG $69.71 million $34.26 million 6.73
UTG Competitors $20.28 billion $1.34 billion 56.07

UTG’s peers have higher revenue and earnings than UTG. UTG is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

UTG peers beat UTG on 6 of the 10 factors compared.

About UTG

(Get Rating)

UTG, Inc., an insurance holding company, provides individual life insurance products and services in the United States. Its individual life insurance includes servicing of existing insurance business in-force; the acquisition of other companies in the insurance business; and the administration processing of life insurance business for other entities. In addition, it offers reinsurance products. UTG, Inc. was founded in 1966 and is headquartered in Stanford, Kentucky.

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