Contrasting Brookfield Reinsurance (NYSE:BNRE) & MediaAlpha (NYSE:MAX)

MediaAlpha (NYSE:MAX – Get Rating) and Brookfield Reinsurance (NYSE:BNRE – Get Rating) are both small-cap business services companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, risk, valuation and analyst recommendations.

Valuation & Earnings

This table compares MediaAlpha and Brookfield Reinsurance’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MediaAlpha	$645.27 million	1.35	-$5.28 million	($0.83)	-16.79
Brookfield Reinsurance	$8.53 billion	0.04	-$44.00 million	N/A	N/A

MediaAlpha has higher earnings, but lower revenue than Brookfield Reinsurance.

Risk & Volatility

MediaAlpha has a beta of 1.35, suggesting that its share price is 35% more volatile than the S&P 500. Comparatively, Brookfield Reinsurance has a beta of 1.5, suggesting that its share price is 50% more volatile than the S&P 500.

Profitability

This table compares MediaAlpha and Brookfield Reinsurance’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MediaAlpha	-6.55%	N/A	-11.66%
Brookfield Reinsurance	1.00%	7.25%	0.33%

Analyst Ratings

This is a breakdown of current recommendations for MediaAlpha and Brookfield Reinsurance, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MediaAlpha	0	2	3	0	2.60
Brookfield Reinsurance	0	0	0	0	N/A

MediaAlpha currently has a consensus target price of $13.80, suggesting a potential downside of 1.00%. Given MediaAlpha’s higher possible upside, research analysts plainly believe MediaAlpha is more favorable than Brookfield Reinsurance.

Insider and Institutional Ownership

70.1% of MediaAlpha shares are owned by institutional investors. Comparatively, 39.7% of Brookfield Reinsurance shares are owned by institutional investors. 9.6% of MediaAlpha shares are owned by insiders. Comparatively, 1.0% of Brookfield Reinsurance 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.

Summary

MediaAlpha beats Brookfield Reinsurance on 6 of the 11 factors compared between the two stocks.

About MediaAlpha

(Get Rating)

MediaAlpha, Inc., through its subsidiaries, operates an insurance customer acquisition platform in the United States. It optimizes customer acquisition in various verticals of property and casualty insurance, health insurance, and life insurance. The company was founded in 2014 and is headquartered in Los Angeles, California.

About Brookfield Reinsurance

(Get Rating)

Brookfield Asset Management Reinsurance Partners Ltd., through its subsidiaries, provides annuity-based reinsurance products to insurance and reinsurance companies. The company operates in two segments, Reinsurance and Pension Risk Transfer. It also acts as a direct issuer of pension risk transfer products for pension plan sponsors. The company was incorporated in 2020 and is headquartered in Pembroke, Bermuda.