Head to Head Contrast: Abacus Life (NASDAQ:ABL) & AIA (OTCMKTS:AAGIY)
by Jessica Moore · The Cerbat GemAIA (OTCMKTS:AAGIY – Get Free Report) and Abacus Life (NASDAQ:ABL – Get Free Report) are both finance companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, earnings, analyst recommendations, valuation, risk, dividends and institutional ownership.
Risk & Volatility
AIA has a beta of 0.25, indicating that its share price is 75% less volatile than the S&P 500. Comparatively, Abacus Life has a beta of -0.06, indicating that its share price is 106% less volatile than the S&P 500.
Profitability
This table compares AIA and Abacus Life’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| AIA | N/A | N/A | N/A |
| Abacus Life | 5.62% | 16.90% | 8.24% |
Earnings & Valuation
This table compares AIA and Abacus Life”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| AIA | $19.31 billion | 5.80 | $6.84 billion | N/A | N/A |
| Abacus Life | $111.92 million | 7.40 | -$23.96 million | $0.08 | 105.88 |
AIA has higher revenue and earnings than Abacus Life.
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for AIA and Abacus Life, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| AIA | 0 | 0 | 1 | 0 | 3.00 |
| Abacus Life | 1 | 0 | 2 | 1 | 2.75 |
Abacus Life has a consensus price target of $12.50, suggesting a potential upside of 47.58%. Given Abacus Life’s higher possible upside, analysts clearly believe Abacus Life is more favorable than AIA.
Insider and Institutional Ownership
0.2% of AIA shares are held by institutional investors. 47.0% of Abacus Life shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Summary
Abacus Life beats AIA on 8 of the 13 factors compared between the two stocks.
About AIA
AIA Group Limited, together with its subsidiaries, provides life insurance based financial services. The company offers life insurance, accident, and health insurance and savings plans; and employee benefits, credit life, and pension services to corporate clients. It is also involved in the distribution of investment and other financial services products. The company sells its products through a network of agents and partners in Mainland China, Hong Kong, Macau, Thailand, Singapore, Malaysia, Australia, Cambodia, Indonesia, Myanmar, New Zealand, the Philippines, South Korea, Sri Lanka, Taiwan, Brunei, Vietnam, and India. AIA Group Limited was founded in 1919 and is based in Wan Chai, Hong Kong.
About Abacus Life
Abacus Life, Inc. operates as an alternative asset manager specializing in life insurance products. It purchases life insurance policies from consumers seeking liquidity and manages policies over time via trading, holding, and/or servicing. The company was founded in 2004 and is based in Orlando, Florida.