Thursday, October 27, 2011

Top Insurance Stocks: Brokers, Health, Life, Property & Casualty

The Aflac (AFL) duck must be really quacking. The company just reported operating earnings of $1.66 per share muck higher than the Zacks Consensus Estimate of $1.60 and significantly higher than $1.45 for the same quarter last year. Aflac, a provider of health, accident, and life insurance, pays a yield of 2.9% and trades at seven times forward earnings.

There are plenty of ways to invest in the insurance business, depending on the type of insurance the companies offer. First, you can invest in the insurance brokers. then you have the insurance providers: Health and Accident, Life, Property & Casualty, and Title and Surety.

In the life insurance sector, Sun Life Financial Inc. (SLF) has a forward price to earnings ratio of 8, a favorable price to earnings growth ratio of 0.84 and a dividend yield of 6.0%.

Maiden Holdings, Ltd. (MHLD) is an interesting company in the property casualty arena. The company provides specialty reinsurance for the global property and casualty market. The stock trades at 6.5 times forward earnings, a 0.68 PEG ratio, and a yield of 4.0%.

In regards to surety and title insurance companies, Fidelity National Financial, Inc. (FNF), trades at 13 times forward earnings, has a PEG of 0.93, yields 3.1%.

Finally the brokers. Marsh & McLennan (MMC) pays a yield of 2.9%, has a forward PE of 14, and a PEG of 1.71.

To access free lists of all the stocks in the various segments of the insurance industry, Brokers, Health and Accident, Life, Property & Casualty, and Title and Surety, go to

Disclosure: Author didn't own any of the above at the time the article was written.


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