Critical Survey: Oxbridge Re (OXBR) and RenaissanceRe (RNR)

Oxbridge Re (NASDAQ:OXBR) and RenaissanceRe (NYSE:RNR) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.

Insider & Institutional Ownership

4.2% of Oxbridge Re shares are held by institutional investors. Comparatively, 95.9% of RenaissanceRe shares are held by institutional investors. 49.0% of Oxbridge Re shares are held by insiders. Comparatively, 1.5% of RenaissanceRe shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Oxbridge Re and RenaissanceRe’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Oxbridge Re 29.55% 4.84% 3.32%
RenaissanceRe 15.07% 10.52% 2.66%

Valuation & Earnings

This table compares Oxbridge Re and RenaissanceRe’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Oxbridge Re $23.84 million 0.24 -$20.59 million N/A N/A
RenaissanceRe $2.10 billion 2.51 -$222.38 million ($8.35) -15.70

Oxbridge Re has higher earnings, but lower revenue than RenaissanceRe.

Dividends

RenaissanceRe pays an annual dividend of $1.32 per share and has a dividend yield of 1.0%. Oxbridge Re does not pay a dividend. RenaissanceRe pays out -15.8% of its earnings in the form of a dividend. RenaissanceRe has increased its dividend for 13 consecutive years.

Risk and Volatility

Oxbridge Re has a beta of 0.56, suggesting that its share price is 44% less volatile than the S&P 500. Comparatively, RenaissanceRe has a beta of 0.65, suggesting that its share price is 35% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Oxbridge Re and RenaissanceRe, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Oxbridge Re 0 0 0 0 N/A
RenaissanceRe 0 4 2 0 2.33

RenaissanceRe has a consensus price target of $142.50, suggesting a potential upside of 8.68%. Given RenaissanceRe’s higher probable upside, analysts clearly believe RenaissanceRe is more favorable than Oxbridge Re.

Summary

RenaissanceRe beats Oxbridge Re on 10 of the 15 factors compared between the two stocks.

Oxbridge Re Company Profile

Oxbridge Re Holdings Limited, through its subsidiary, Oxbridge Reinsurance Limited, provides specialty property and casualty reinsurance solutions. It focuses on underwriting fully-collateralized reinsurance contracts primarily for property and casualty insurance companies in the Gulf Coast region of the United States. The company distributes its products through reinsurance brokers. The company was founded in 2013 and is headquartered in George Town, the Cayman Islands.

RenaissanceRe Company Profile

RenaissanceRe Holdings Ltd., together with its subsidiaries, provides reinsurance and insurance coverages in the United States and internationally. Its Property segment writes property catastrophe excess of loss reinsurance and excess of loss retrocessional reinsurance to insure insurance and reinsurance companies against natural and man-made catastrophes, such as earthquakes, hurricanes, and tsunamis, as well as claims arising from other natural and man-made catastrophes comprising winter storms, freezes, floods, fires, windstorms, tornadoes, explosions, and acts of terrorism; and other property class of products, including proportional reinsurance, property per risk, property reinsurance, and binding facilities and regional U.S. multi-line reinsurance. The company's Casualty and Specialty segment writes various classes of products, such as directors and officers, and medical malpractice; automobile liability, casualty clash, employer's liability, umbrella or excess casualty, and workers' compensation; financial guaranty, mortgage guaranty, political risk, surety, and trade credit; and accident and health, agriculture, aviation, cyber, energy, marine, satellite, and terrorism. This segment also offers a range of casualty insurance products through Syndicate 1458, including general liability, medical malpractice, and professional liability. The company distributes its products and services primarily through intermediaries. RenaissanceRe Holdings Ltd. was founded in 1993 and is headquartered in Pembroke, Bermuda.

Receive News & Ratings for Oxbridge Re Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Oxbridge Re and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply