Head to Head Comparison: Omni Financial Services (OTCMKTS:OFSI) and Hilltop (NYSE:HTH)

Omni Financial Services (OTCMKTS:OFSI) and Hilltop (NYSE:HTH) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, valuation, risk, profitability, analyst recommendations, earnings and institutional ownership.

Institutional & Insider Ownership

57.1% of Hilltop shares are held by institutional investors. 5.4% of Hilltop shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Omni Financial Services and Hilltop”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Omni Financial Services	N/A	N/A	N/A	N/A	N/A
Hilltop	$1.63 billion	1.43	$165.59 million	$2.64	15.05

Hilltop has higher revenue and earnings than Omni Financial Services.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Omni Financial Services and Hilltop, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Omni Financial Services	0	0	0	0	0.00
Hilltop	0	2	1	1	2.75

Hilltop has a consensus price target of $37.50, indicating a potential downside of 5.62%. Given Omni Financial Services’ higher possible upside, equities research analysts plainly believe Omni Financial Services is more favorable than Hilltop.

Volatility & Risk

Omni Financial Services has a beta of 1.43, suggesting that its stock price is 43% more volatile than the S&P 500. Comparatively, Hilltop has a beta of 0.88, suggesting that its stock price is 12% less volatile than the S&P 500.

Profitability

This table compares Omni Financial Services and Hilltop’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Omni Financial Services	N/A	N/A	N/A
Hilltop	10.13%	7.32%	1.03%

Summary

Hilltop beats Omni Financial Services on 9 of the 11 factors compared between the two stocks.

About Omni Financial Services

OMNI Financial Services, Inc. provides various financial products and services to individuals, professionals, and business owners. The company offers deferred annuities, fixed annuities, and immediate annuities; and group medical, key employee, survivor life, disability, fixed life, long term care, and term life insurance products. It also provides college funding, retirement, and estate planning services. The company was founded in 1976 and is headquartered in Fort Myers, Florida.

About Hilltop

Hilltop Holdings Inc. provides business and consumer banking services. It operates through three segments: Banking, Broker-Dealer, and Mortgage Origination. The Banking segment offers savings, checking, interest-bearing checking, and money market accounts; certificates of deposit; lines and letters of credit, home improvement and equity loans, loans for purchasing and carrying securities, term, agricultural and commercial real estate, equipment loans, and other lending products; and mortgage, commercial and industrial loans, and term and construction finance. It also provides treasury management, asset management, check cards, safe deposit boxes, online banking, bill pay, and overdraft privilege services; and estate planning, management and administration, investment portfolio management, employee benefit accounts, and individual retirement accounts services, as well as automated teller machines. The Broker-Dealer segment offers public finance services that assist public entities in originating, syndicating, and distributing securities of municipalities and political subdivisions; specialized advisory and investment banking services; advice and guidance to arbitrage rebate compliance, portfolio management, and local government investment pool administration; advisory services and products for derivatives and commodities; agricultural insurance; and sells, trades in, and underwrites U.S. government and government agency bonds, corporate bonds, and municipal bonds; mortgage-backed, asset-backed, and commercial mortgage-backed securities and structured products; and provides asset and liability management advisory, clearing, retail, and securities lending services. The Mortgage Origination segment offers fixed and adjustable rate mortgages, jumbo, new construction, Federal Housing Administration, Veterans Affairs, and United States Department of Agriculture loans. Hilltop Holdings Inc. was incorporated in 1998 and is based in Dallas, Texas.