Financial Comparison: SWK (NASDAQ:SWKH) vs. Brookfield Wealth Solutions (NYSE:BNT)

SWK (NASDAQ:SWKH) and Brookfield Wealth Solutions (NYSE:BNT) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, valuation, risk, earnings, dividends, profitability and analyst recommendations.

Institutional and Insider Ownership

99.3% of SWK shares are owned by institutional investors. Comparatively, 20.3% of Brookfield Wealth Solutions shares are owned by institutional investors. 1.3% of SWK shares are owned by insiders. Comparatively, 1.0% of Brookfield Wealth Solutions shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for SWK and Brookfield Wealth Solutions, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SWK	0	2	0	0	2.00
Brookfield Wealth Solutions	0	0	1	0	3.00

SWK presently has a consensus price target of $18.00, indicating a potential upside of 7.14%. Given SWK’s higher possible upside, equities research analysts plainly believe SWK is more favorable than Brookfield Wealth Solutions.

Risk & Volatility

SWK has a beta of 0.3, suggesting that its share price is 70% less volatile than the S&P 500. Comparatively, Brookfield Wealth Solutions has a beta of 1.57, suggesting that its share price is 57% more volatile than the S&P 500.

Valuation and Earnings

This table compares SWK and Brookfield Wealth Solutions”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SWK	$44.99 million	4.52	$13.49 million	$1.86	9.03
Brookfield Wealth Solutions	$11.64 billion	1.27	$766.00 million	$0.24	170.80

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

Profitability

This table compares SWK and Brookfield Wealth Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SWK	50.37%	9.81%	8.57%
Brookfield Wealth Solutions	0.14%	0.10%	0.01%

Summary

SWK beats Brookfield Wealth Solutions on 8 of the 14 factors compared between the two stocks.

About SWK

SWK Holdings Corporation, offers specialty finance and asset management services in the United States. It operates in two segments, Finance Receivables and Pharmaceutical Development. The Finance Receivables segment provides customized financing solutions to a range of life science companies, including companies in the biotechnology, medical device, medical diagnostics and related tools, animal health, and pharmaceutical industries, as well as institutions and inventors. This segment also offers non-discretionary investment advisory services to institutional clients in separately managed accounts to invest in life science finance. The Pharmaceutical Development segment provides customers pharmaceutical development, formulation, and manufacturing services, as well as formulation solutions built around its proprietary oral drug delivery technologies, the Peptelligence platform. It also offers intellectual property licensing business. The company was formerly known as Kana Software, Inc. and changed its name to SWK Holdings Corporation in December 2009. SWK Holdings Corporation was incorporated in 1996 and is headquartered in Dallas, Texas.

About Brookfield Wealth Solutions

Brookfield Wealth Solutions is focused on securing the financial futures of individuals and institutions through a range of retirement services, wealth protection products and tailored capital solutions. Through our operating subsidiaries, we offer a broad range of insurance products and services, including annuities, personal and commercial property and casualty insurance and life insurance.The company was incorporated in 2020 and is headquartered in Pembroke, Bermuda.