WallStSmart

Essent Group Ltd (ESNT)vsRyan Specialty Group Holdings Inc (RYAN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ryan Specialty Group Holdings Inc generates 142% more annual revenue ($3.10B vs $1.28B). ESNT leads profitability with a 53.6% profit margin vs 3.5%. ESNT trades at a lower P/E of 8.3x. ESNT earns a higher WallStSmart Score of 73/100 (B).

ESNT

Strong Buy

73

out of 100

Grade: B

Growth: 6.0Profit: 8.0Value: 7.7Quality: 8.5
Piotroski: 2/9Altman Z: 4.50

RYAN

Buy

56

out of 100

Grade: C

Growth: 9.3Profit: 6.5Value: 4.7Quality: 3.0
Piotroski: 3/9Altman Z: 0.61

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ESNT6 strengths · Avg: 10.0/10
P/E RatioValuation
8.3x10/10

Attractively priced relative to earnings

Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Profit MarginProfitability
53.6%10/10

Keeps 54 of every $100 in revenue as profit

Operating MarginProfitability
63.7%10/10

Strong operational efficiency at 63.7%

Debt/EquityHealth
0.0910/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.5010/10

Safe zone — low bankruptcy risk

RYAN3 strengths · Avg: 9.0/10
EPS GrowthGrowth
110.1%10/10

Earnings expanding 110.1% YoY

Return on EquityProfitability
20.7%9/10

Every $100 of equity generates 21 in profit

Revenue GrowthGrowth
15.8%8/10

15.8% revenue growth

Areas to Watch

ESNT1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

RYAN4 concerns · Avg: 2.5/10
Profit MarginProfitability
3.5%3/10

3.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
42.1x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-180.68M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : ESNT

The strongest argument for ESNT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 53.6% and operating margin at 63.7%. PEG of 0.84 suggests the stock is reasonably priced for its growth.

Bull Case : RYAN

The strongest argument for RYAN centers on EPS Growth, Return on Equity, Revenue Growth. Revenue growth of 15.8% demonstrates continued momentum.

Bear Case : ESNT

The primary concerns for ESNT are Piotroski F-Score.

Bear Case : RYAN

The primary concerns for RYAN are Profit Margin, Piotroski F-Score, P/E Ratio. A P/E of 42.1x leaves little room for execution misses. Debt-to-equity of 5.88 is elevated, increasing financial risk.

Key Dynamics to Monitor

ESNT profiles as a mature stock while RYAN is a growth play — different risk/reward profiles.

ESNT carries more volatility with a beta of 0.78 — expect wider price swings.

RYAN is growing revenue faster at 15.8% — sustainability is the question.

ESNT generates stronger free cash flow (191M), providing more financial flexibility.

Bottom Line

ESNT scores higher overall (73/100 vs 56/100), backed by strong 53.6% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Essent Group Ltd

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Essent Group Ltd., provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States. The company is headquartered in Hamilton, Bermuda.

Ryan Specialty Group Holdings Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Ryan Specialty Group Holdings Inc is a leading provider of specialty insurance solutions, renowned for its innovative risk management services tailored to meet the diverse needs of its clients across various sectors. The company leverages its extensive network of insurance wholesale operations and underwriting proficiency to foster effective partnerships with insurers and distribution channels. By integrating advanced technology and analytics into its operations, Ryan Specialty enhances underwriting efficiencies and client outcomes, reinforcing its significance in the dynamic insurance landscape. With a strategic emphasis on growth and operational excellence, Ryan Specialty is well-positioned to create sustainable shareholder value amid an increasingly competitive market.

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