First National Financial (FN) Competitors

Home Capital Group (TSE:HCG) and First National Financial (TSE:FN) are both financial services companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, analyst recommendations, dividends, risk, profitability, institutional ownership and media sentiment.

Does the media refer more to HCG or FN?

In the previous week, First National Financial had 5 more articles in the media than Home Capital Group. MarketBeat recorded 5 mentions for First National Financial and 0 mentions for Home Capital Group. First National Financial's average media sentiment score of 0.32 beat Home Capital Group's score of 0.00 indicating that First National Financial is being referred to more favorably in the news media.

Company	Overall Sentiment
Home Capital Group	Neutral
First National Financial	Neutral

Do analysts recommend HCG or FN?

First National Financial has a consensus target price of C$41.00, suggesting a potential downside of 4.76%. Given Home Capital Group's higher probable upside, research analysts plainly believe Home Capital Group is more favorable than First National Financial.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Home Capital Group	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00
First National Financial	0 Sell rating(s)	3 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.25

Is HCG or FN more profitable?

Home Capital Group has a net margin of 33.98% compared to First National Financial's net margin of 10.70%. First National Financial's return on equity of 24.41% beat Home Capital Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Home Capital Group	33.98%	10.77%	0.77%
First National Financial	10.70%	24.41%	0.48%

Do insiders & institutionals have more ownership in HCG or FN?

33.1% of Home Capital Group shares are held by institutional investors. Comparatively, 4.0% of First National Financial shares are held by institutional investors. 0.6% of Home Capital Group shares are held by company insiders. Comparatively, 71.5% of First National Financial shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Which has preferable valuation and earnings, HCG or FN?

First National Financial has higher revenue and earnings than Home Capital Group. Home Capital Group is trading at a lower price-to-earnings ratio than First National Financial, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Home Capital Group	C$512.55M	0.00	C$174.16M	C$4.48	N/A
First National Financial	C$1.73B	1.50	C$185.07M	C$3.07	14.02

Which has more risk and volatility, HCG or FN?

Home Capital Group has a beta of 1.94, suggesting that its stock price is 94% more volatile than the S&P 500. Comparatively, First National Financial has a beta of 1.04, suggesting that its stock price is 4% more volatile than the S&P 500.

Is HCG or FN a better dividend stock?

Home Capital Group pays an annual dividend of C$0.60 per share. First National Financial pays an annual dividend of C$2.45 per share and has a dividend yield of 5.7%. Home Capital Group pays out 13.4% of its earnings in the form of a dividend. First National Financial pays out 79.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

First National Financial beats Home Capital Group on 10 of the 17 factors compared between the two stocks.