Reviewing Brighthouse Financial (NASDAQ:BHF) & NN Group (OTCMKTS:NNGRY)

Brighthouse Financial (NASDAQ:BHF) and NN Group (OTCMKTS:NNGRY) are both finance companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, dividends, institutional ownership, earnings, valuation, risk and analyst recommendations.

Earnings & Valuation

This table compares Brighthouse Financial and NN Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brighthouse Financial	$6.77 billion	0.53	$433.00 million	$5.80	10.82
NN Group	$13.03 billion	1.74	$1.34 billion	N/A	N/A

NN Group has higher revenue and earnings than Brighthouse Financial.

Profitability

This table compares Brighthouse Financial and NN Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brighthouse Financial	6.40%	17.00%	0.43%
NN Group	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current ratings and target prices for Brighthouse Financial and NN Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brighthouse Financial	3	8	0	0	1.73
NN Group	1	5	2	0	2.13

Brighthouse Financial currently has a consensus target price of $60.86, indicating a potential downside of 2.99%. Given Brighthouse Financial’s higher possible upside, equities research analysts plainly believe Brighthouse Financial is more favorable than NN Group.

Institutional & Insider Ownership

81.2% of Brighthouse Financial shares are held by institutional investors. Comparatively, 0.0% of NN Group shares are held by institutional investors. 1.6% of Brighthouse Financial shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Risk and Volatility

Brighthouse Financial has a beta of 0.87, meaning that its stock price is 13% less volatile than the S&P 500. Comparatively, NN Group has a beta of 0.77, meaning that its stock price is 23% less volatile than the S&P 500.

Summary

Brighthouse Financial beats NN Group on 7 of the 12 factors compared between the two stocks.

About Brighthouse Financial

Brighthouse Financial, Inc. provides annuity and life insurance products in the United States. It operates through three segments: Annuities, Life, and Run-off. The Annuities segment consists of variable, fixed, index-linked, and income annuities for contract holders’ needs for protected wealth accumulation on a tax-deferred basis, wealth transfer, and income security. The Life segment offers term, universal, whole, and variable life products for policyholders’ needs for financial security and protected wealth transfer. The Run-off segment manages structured settlements, pension risk transfer contracts, certain company-owned life insurance policies, funding agreements, and universal life with secondary guarantees. Brighthouse Financial, Inc. was founded in 1863 and is headquartered in Charlotte, North Carolina.

About NN Group

NN Group N.V., a financial services company, provides life and non-life insurance products in the Netherlands and internationally. The company operates through Netherlands Life, Netherlands Non-life, Insurance Europe, Japan Life, Banking, and Other segments. It offers Life insurance products, such as group and individual pension products, retail life insurance, and SME life insurance products; and non-life insurance products, including motor, fire, liability, transport, travel, health, property and casualty, and disability and accident insurance products. The company also provides banking services, including mortgage loans, bank annuities, consumer savings, and retail savings and investment products; reinsurance services; and retirement products and services. It offers its products to individuals, small and medium-sized enterprises, and Corporates customers directly through tied agents, agents/ brokers, platform insurance, and direct channels. The company was formerly known as ING Insurance Topholding N.V. and changed its name to NN Group N.V. in March 2014. NN Group N.V. was founded in 1845 and is headquartered in the Hague, the Netherlands.