American Financial Group vs First Horizon
This page compares American Financial Group and First Horizon, examining their business models, financial performance, and market context in a neutral, accessible way. It highlights how each company operates within its sector and the factors shaping its strategy. Educational content, not financial advice.
This page compares American Financial Group and First Horizon, examining their business models, financial performance, and market context in a neutral, accessible way. It highlights how each company o...
Investment Analysis
Pros
- American Financial Group reported a 7.49% revenue increase in 2024, reaching $8.01 billion, and a 4.11% rise in earnings to $887 million.
- The company has a strong return on equity of 17.41%, indicating efficient capital use.
- Specialises in niche specialty property and casualty insurance markets, providing diverse product lines including transportation and specialty casualty insurance.
Considerations
- The stock has a modest analyst consensus rating of 'Hold' with minimal upside in price targets, suggesting limited near-term share price growth.
- Trading near its upper 52-week range raises concerns about potential valuation premium and limited price appreciation.
- Exposure to insurance underwriting risks and potential claim volatility inherent in specialty casualty and property insurance sectors.
Pros
- First Horizon achieved a 1.95% revenue increase to $3.04 billion in 2024, indicating modest top-line growth amid a challenging environment.
- The bank benefits from a diversified revenue base including regional banking, specialty banking, and wealth management.
- Analyst consensus is bullish with a 'Buy' rating and a price target approximately 15% above the current share price.
Considerations
- Net income declined by 14.68% in 2024, signaling earnings pressure despite revenue growth.
- Shares exhibit cyclical sensitivity to interest rate changes and economic conditions impacting the banking sector.
- Face competitive and regulatory pressures typical of mid-sized regional banks which may constrain margin expansion.
Which Baskets Do They Appear In?
No baskets available in this category
Which Baskets Do They Appear In?
No baskets available in this category
Buy AFG or FHN in Nemo
Zero Commission
Trade stocks, ETFs, and more with zero commission. Keep more of your returns.
Trusted & Regulated
Part of Exinity Group 2015, serving over a million customers globally.
6% Interest on Cash
Earn 6% AER on uninvested cash with daily interest payments.
Discover More Comparisons
American Financial Group vs Assurant
American Financial Group vs Assurant
American Financial Group vs Comerica
American Financial Group vs Comerica
American Financial Group vs Invesco
American Financial Group vs Invesco