NN Group (OTCMKTS:NNGRY) and Horace Mann Educators (NYSE:HMN) Critical Review

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

Institutional & Insider Ownership

0.0% of NN Group shares are owned by institutional investors. Comparatively, 99.3% of Horace Mann Educators shares are owned by institutional investors. 3.6% of Horace Mann Educators shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings for NN Group and Horace Mann Educators, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NN Group	0	3	2	0	2.40
Horace Mann Educators	0	0	0	1	4.00

Earnings and Valuation

This table compares NN Group and Horace Mann Educators”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NN Group	$13.03 billion	1.86	$1.34 billion	N/A	N/A
Horace Mann Educators	$1.70 billion	1.25	$162.10 million	$4.28	12.32

NN Group has higher revenue and earnings than Horace Mann Educators.

Profitability

This table compares NN Group and Horace Mann Educators’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NN Group	N/A	N/A	N/A
Horace Mann Educators	10.15%	14.08%	1.35%

Risk & Volatility

NN Group has a beta of 0.74, suggesting that its stock price is 26% less volatile than the S&P 500. Comparatively, Horace Mann Educators has a beta of 0.08, suggesting that its stock price is 92% less volatile than the S&P 500.

Dividends

NN Group pays an annual dividend of $2.33 per share and has a dividend yield of 5.0%. Horace Mann Educators pays an annual dividend of $1.44 per share and has a dividend yield of 2.7%. Horace Mann Educators pays out 33.6% of its earnings in the form of a dividend. Horace Mann Educators has increased its dividend for 17 consecutive years.

Summary

Horace Mann Educators beats NN Group on 8 of the 15 factors compared between the two stocks.

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.

About Horace Mann Educators

Horace Mann Educators Corporation, together with its subsidiaries, operates as an insurance holding company in the United States. The company operates through Property & Casualty, Life & Retirement, and Supplemental & Group Benefits segments. Its Property & Casualty segment offers insurance products, including private passenger auto insurance, residential home insurance, and personal umbrella insurance; and provides auto coverages including liability and collision, and property coverage for homeowners and renters. The Life & Retirement segment markets tax-qualified fixed, fixed indexed, and variable annuities; and internal revenue code for educator, which allows public school employees and employees of other tax-exempt organizations, such as not-for-profit private schools, to utilize pretax income to make periodic contributions to a qualified retirement plan. The Supplemental & Group Benefits segment offers employer-sponsored products including accident, critical illness, limited-benefit fixed indemnity insurance, term life, and short-term and long-term disability, as well as worksite direct products, such as supplemental heart, cancer, disability, and accident coverage. The company was founded in 1945 and is headquartered in Springfield, Illinois.