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 146% more annual revenue ($3.10B vs $1.26B). ESNT leads profitability with a 54.7% profit margin vs 3.5%. ESNT trades at a lower P/E of 8.9x. ESNT earns a higher WallStSmart Score of 67/100 (B-).

ESNT

Strong Buy

67

out of 100

Grade: B-

Growth: 4.0Profit: 8.0Value: 7.7Quality: 5.3
Piotroski: 2/9Altman Z: 3.68

RYAN

Buy

56

out of 100

Grade: C

Growth: 9.3Profit: 6.5Value: 4.7Quality: 4.5
Piotroski: 3/9Altman Z: 0.61

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ESNT6 strengths · Avg: 9.7/10
P/E RatioValuation
8.9x10/10

Attractively priced relative to earnings

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Profit MarginProfitability
54.7%10/10

Keeps 55 of every $100 in revenue as profit

Operating MarginProfitability
61.7%10/10

Strong operational efficiency at 61.7%

Altman Z-ScoreHealth
3.6810/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.848/10

Growing faster than its price suggests

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

Earnings expanding 110.1% YoY

Return on EquityProfitability
22.8%9/10

Every $100 of equity generates 23 in profit

Revenue GrowthGrowth
15.8%8/10

15.8% revenue growth

Areas to Watch

ESNT3 concerns · Avg: 3.0/10
EPS GrowthGrowth
0.9%4/10

0.9% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Revenue GrowthGrowth
-0.8%2/10

Revenue declined 0.8%

RYAN4 concerns · Avg: 3.0/10
P/E RatioValuation
35.8x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
3.5%3/10

3.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

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 54.7% and operating margin at 61.7%. 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 EPS Growth, Piotroski F-Score, Revenue Growth.

Bear Case : RYAN

The primary concerns for RYAN are P/E Ratio, Profit Margin, Piotroski F-Score. Debt-to-equity of 5.68 is elevated, increasing financial risk. Thin 3.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

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

ESNT carries more volatility with a beta of 0.81 — 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 (67/100 vs 56/100), backed by strong 54.7% 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 prominent provider of specialty insurance solutions, dedicated to delivering innovative risk management services across various sectors. Utilizing its extensive network of insurance wholesale operations and underwriting expertise, the company effectively addresses the complex needs of its clients while fostering strong partnerships with insurers and distribution channels. By harnessing advanced technology and analytics, Ryan Specialty enhances underwriting efficiencies and client outcomes, solidifying its position as a vital entity in the evolving insurance landscape. With a strong focus on strategic growth initiatives, the company is well-positioned to generate sustainable shareholder value in a competitive market.

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