Insperity (NYSE:NSP) vs. Booz Allen Hamilton (NYSE:BAH) Head-To-Head Survey

Insperity (NYSE:NSP) and Booz Allen Hamilton (NYSE:BAH) are both industrials companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, earnings, analyst recommendations, institutional ownership, risk, profitability and valuation.

Dividends

Insperity pays an annual dividend of $2.40 per share and has a dividend yield of 4.9%. Booz Allen Hamilton pays an annual dividend of $2.36 per share and has a dividend yield of 2.8%. Insperity pays out 3,000.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Booz Allen Hamilton pays out 36.6% of its earnings in the form of a dividend. Insperity has increased its dividend for 14 consecutive years and Booz Allen Hamilton has increased its dividend for 14 consecutive years.

Analyst Recommendations

This is a summary of recent ratings and price targets for Insperity and Booz Allen Hamilton, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Insperity	2	2	1	0	1.80
Booz Allen Hamilton	3	7	5	0	2.13

Insperity presently has a consensus price target of $53.33, indicating a potential upside of 7.99%. Booz Allen Hamilton has a consensus price target of $89.71, indicating a potential upside of 5.46%. Given Insperity’s higher possible upside, equities analysts plainly believe Insperity is more favorable than Booz Allen Hamilton.

Volatility and Risk

Insperity has a beta of 0.48, indicating that its share price is 52% less volatile than the S&P 500. Comparatively, Booz Allen Hamilton has a beta of 0.28, indicating that its share price is 72% less volatile than the S&P 500.

Valuation & Earnings

This table compares Insperity and Booz Allen Hamilton”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Insperity	$6.81 billion	0.28	-$7.00 million	$0.08	617.33
Booz Allen Hamilton	$11.22 billion	0.90	$851.00 million	$6.44	13.21

Booz Allen Hamilton has higher revenue and earnings than Insperity. Booz Allen Hamilton is trading at a lower price-to-earnings ratio than Insperity, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Insperity and Booz Allen Hamilton’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Insperity	0.04%	18.27%	0.45%
Booz Allen Hamilton	7.14%	75.00%	11.41%

Institutional & Insider Ownership

93.4% of Insperity shares are held by institutional investors. Comparatively, 91.8% of Booz Allen Hamilton shares are held by institutional investors. 5.8% of Insperity shares are held by insiders. Comparatively, 1.1% of Booz Allen Hamilton shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Booz Allen Hamilton beats Insperity on 10 of the 16 factors compared between the two stocks.

About Insperity

Insperity, Inc. provides human resources and business solutions to small and midsize businesses in the United States. Its services are designed to help clients manage workforce-related responsibilities and support their employees. The company’s offerings include payroll and employment administration, employee benefits, workers’ compensation, human resources guidance, and assistance with employment-related compliance. It also provides services such as recruiting, training, and performance management.

About Booz Allen Hamilton

Booz Allen Hamilton is a management and technology consulting firm that helps government and commercial clients address complex operational and technical challenges. Its services include strategy and organizational consulting, digital transformation, systems engineering, data analytics, artificial intelligence, and cybersecurity. The company has a substantial focus on U.S. federal government work, supporting defense, intelligence, and civilian agencies on national security and public-sector missions.