Head-To-Head Review: Oscar Health (NYSE:OSCR) vs. Hippo (NYSE:HIPO)

Hippo (NYSE:HIPO) and Oscar Health (NYSE:OSCR) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, earnings, analyst recommendations, dividends, institutional ownership, valuation and risk.

Volatility and Risk

Hippo has a beta of 1.56, meaning that its share price is 56% more volatile than the S&P 500. Comparatively, Oscar Health has a beta of 1.88, meaning that its share price is 88% more volatile than the S&P 500.

Earnings and Valuation

This table compares Hippo and Oscar Health”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hippo	$372.10 million	2.14	-$40.50 million	$3.62	8.67
Oscar Health	$9.18 billion	0.40	$25.43 million	($1.12)	-12.37

Oscar Health has higher revenue and earnings than Hippo. Oscar Health is trading at a lower price-to-earnings ratio than Hippo, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Hippo and Oscar Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hippo	21.30%	-5.89%	-1.28%
Oscar Health	-2.16%	-21.50%	-4.28%

Institutional & Insider Ownership

43.0% of Hippo shares are owned by institutional investors. Comparatively, 75.7% of Oscar Health shares are owned by institutional investors. 10.8% of Hippo shares are owned by company insiders. Comparatively, 24.4% of Oscar Health shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings for Hippo and Oscar Health, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hippo	1	2	4	0	2.43
Oscar Health	5	6	0	0	1.55

Hippo presently has a consensus target price of $35.50, indicating a potential upside of 13.15%. Oscar Health has a consensus target price of $13.14, indicating a potential downside of 5.17%. Given Hippo’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Hippo is more favorable than Oscar Health.

Summary

Hippo beats Oscar Health on 9 of the 14 factors compared between the two stocks.

About Hippo

Hippo Holdings Inc. provides property and casualty insurance products to individuals and business customers primarily in the United States. The company operates through three segments: Services, Insurance-as-a-Service, and Hippo Home Insurance Program. Its insurance products include homeowners' insurance against risks of fire, wind, and theft, as well as other personal lines policies from third party carriers; and personal and commercial, as well as home, auto, cyber, small business, life, specialty lines, and other insurance products. The company distributes insurance products and services through its technology platform and website, as well as operates licensed insurance agencies. Hippo Holdings Inc. is headquartered in Palo Alto, California.

About Oscar Health

Oscar Health, Inc. operates as a health insurance in the United States. The company offers health plans in individual and small group markets, as well as +Oscar, a technology driven platform that help providers and payors directly enable their shift to value-based care. It also provides reinsurance products. The company was formerly known as Mulberry Health Inc. and changed its name to Oscar Health, Inc. in January 2021. Oscar Health, Inc. was incorporated in 2012 and is headquartered in New York, New York.