Critical Analysis: Prudential (NYSE:PUK) & Federal Life Group (OTCMKTS:FLFG)

Prudential (NYSE:PUK) and Federal Life Group (OTCMKTS:FLFG) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, earnings, profitability, valuation, risk, analyst recommendations and institutional ownership.

Earnings & Valuation

This table compares Prudential and Federal Life Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Prudential	$7.52 billion	2.80	$1.70 billion	N/A	N/A
Federal Life Group	N/A	N/A	N/A	N/A	N/A

Prudential has higher revenue and earnings than Federal Life Group.

Insider & Institutional Ownership

1.9% of Prudential shares are held by institutional investors. 0.1% of Prudential shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Prudential and Federal Life Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Prudential	0	1	1	1	3.00
Federal Life Group	0	0	0	0	0.00

Volatility and Risk

Prudential has a beta of 1.2, indicating that its stock price is 20% more volatile than the S&P 500. Comparatively, Federal Life Group has a beta of 0.14, indicating that its stock price is 86% less volatile than the S&P 500.

Profitability

This table compares Prudential and Federal Life Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Prudential	N/A	N/A	N/A
Federal Life Group	N/A	N/A	N/A

Summary

Prudential beats Federal Life Group on 7 of the 7 factors compared between the two stocks.

About Prudential

Prudential plc, through its subsidiaries, provides life and health insurance, and asset management solutions to individuals in Asia and Africa. The company was founded in 1848 and is headquartered in Central, Hong Kong.

About Federal Life Group

Federal Life Group, Inc., through its subsidiary Federal Life Insurance Company, provides life insurance and annuity products in the United States. It offers whole, term, and universal life insurance, as well as retirement insurance products. The company offers its products through independent agents. Federal Life Group, Inc. was founded in 2018 and is headquartered in Riverwoods, Illinois. Federal Life Group, Inc operates as a subsidiary of Insurance Capital Group, LLC.