Contrasting Baldwin Insurance Group (NASDAQ:BWIN) and RenaissanceRe (NYSE:RNR)

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

Profitability

This table compares RenaissanceRe and Baldwin Insurance Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RenaissanceRe	23.65%	23.10%	4.62%
Baldwin Insurance Group	-4.67%	12.67%	3.32%

Analyst Ratings

This is a summary of recent ratings and target prices for RenaissanceRe and Baldwin Insurance Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RenaissanceRe	1	11	6	0	2.28
Baldwin Insurance Group	2	7	3	0	2.08

RenaissanceRe presently has a consensus target price of $338.12, indicating a potential upside of 4.69%. Baldwin Insurance Group has a consensus target price of $30.89, indicating a potential downside of 2.90%. Given RenaissanceRe’s stronger consensus rating and higher possible upside, equities analysts plainly believe RenaissanceRe is more favorable than Baldwin Insurance Group.

Valuation & Earnings

This table compares RenaissanceRe and Baldwin Insurance Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RenaissanceRe	$12.85 billion	1.04	$2.68 billion	$58.27	5.54
Baldwin Insurance Group	$1.50 billion	2.95	-$33.81 million	($1.04)	-30.59

RenaissanceRe has higher revenue and earnings than Baldwin Insurance Group. Baldwin Insurance Group is trading at a lower price-to-earnings ratio than RenaissanceRe, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

100.0% of RenaissanceRe shares are held by institutional investors. Comparatively, 77.5% of Baldwin Insurance Group shares are held by institutional investors. 2.3% of RenaissanceRe shares are held by insiders. Comparatively, 15.8% of Baldwin Insurance Group shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Risk & Volatility

RenaissanceRe has a beta of 0.12, indicating that its share price is 88% less volatile than the S&P 500. Comparatively, Baldwin Insurance Group has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.

Summary

RenaissanceRe beats Baldwin Insurance Group on 11 of the 14 factors compared between the two stocks.

About RenaissanceRe

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

About Baldwin Insurance Group

The Baldwin Insurance Group, Inc. operates as an independent insurance distribution firm that delivers insurance and risk management solutions in the United States. It operates through three segments: Insurance Advisory Solutions; Underwriting, Capacity & Technology Solutions; and Mainstreet Insurance Solutions. The Insurance Advisory Solutions segment provides commercial risk management, employee benefits, and private risk management solutions for businesses and high-net-worth individuals, as well as their families. The Underwriting, Capacity & Technology Solutions segment offers Future platform, that manufactures technology-enabled insurance products suite comprises personal, commercial, and specialty lines; specialty wholesale broker business that delivers professionals, individuals, and niche industry businesses; and reinsurance brokerage services. The Mainstreet Insurance Solutions segment provides personal insurance, commercial insurance, and life and health solutions to individuals and businesses in communities. The company was formerly known as BRP Group, Inc. and changed its name to The Baldwin Insurance Group, Inc. in May 2024. The Baldwin Insurance Group, Inc. was founded in 2011 and is headquartered in Tampa, Florida.