Critical Analysis: AIA (OTCMKTS:AAGIY) & Baldwin Insurance Group (NASDAQ:BWIN)

AIA (OTCMKTS:AAGIY) and Baldwin Insurance Group (NASDAQ:BWIN) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, dividends, profitability, earnings, analyst recommendations, institutional ownership and valuation.

Insider & Institutional Ownership

0.2% of AIA shares are owned by institutional investors. Comparatively, 77.5% of Baldwin Insurance Group shares are owned by institutional investors. 20.1% of Baldwin Insurance Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares AIA and Baldwin Insurance Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AIA	$19.31 billion	5.45	$6.84 billion	N/A	N/A
Baldwin Insurance Group	$1.39 billion	1.95	-$24.52 million	($0.43)	-52.98

AIA has higher revenue and earnings than Baldwin Insurance Group.

Analyst Recommendations

This is a summary of recent ratings and price targets for AIA and Baldwin Insurance Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AIA	0	0	0	0	0.00
Baldwin Insurance Group	2	4	3	0	2.11

Baldwin Insurance Group has a consensus target price of $38.57, suggesting a potential upside of 69.32%. Given Baldwin Insurance Group’s stronger consensus rating and higher probable upside, analysts plainly believe Baldwin Insurance Group is more favorable than AIA.

Profitability

This table compares AIA and Baldwin Insurance Group’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
Baldwin Insurance Group	-1.89%	12.65%	3.67%

Risk & Volatility

AIA has a beta of 0.27, meaning that its share price is 73% less volatile than the S&P 500. Comparatively, Baldwin Insurance Group has a beta of 1.35, meaning that its share price is 35% more volatile than the S&P 500.

Summary

Baldwin Insurance Group beats AIA on 8 of the 12 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 Baldwin Insurance Group

The Baldwin Insurance Group, Inc. operates as an independent insurance distribution firm that delivers insurance and risk management solutions in the United States. It operates through three segments: Insurance Advisory Solutions; Underwriting, Capacity & Technology Solutions; and Mainstreet Insurance Solutions. The Insurance Advisory Solutions segment provides commercial risk management, employee benefits, and private risk management solutions for businesses and high-net-worth individuals, as well as their families. The Underwriting, Capacity & Technology Solutions segment offers Future platform, that manufactures technology-enabled insurance products suite comprises personal, commercial, and specialty lines; specialty wholesale broker business that delivers professionals, individuals, and niche industry businesses; and reinsurance brokerage services. The Mainstreet Insurance Solutions segment provides personal insurance, commercial insurance, and life and health solutions to individuals and businesses in communities. The company was formerly known as BRP Group, Inc. and changed its name to The Baldwin Insurance Group, Inc. in May 2024. The Baldwin Insurance Group, Inc. was founded in 2011 and is headquartered in Tampa, Florida.