WallStSmart

Enact Holdings Inc (ACT)vsRyan Specialty Group Holdings Inc (RYAN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ryan Specialty Group Holdings Inc generates 150% more annual revenue ($3.10B vs $1.24B). ACT leads profitability with a 54.5% profit margin vs 3.5%. ACT trades at a lower P/E of 9.2x. RYAN earns a higher WallStSmart Score of 56/100 (C).

ACT

Buy

54

out of 100

Grade: C-

Growth: 4.7Profit: 8.5Value: 6.7Quality: 7.8
Piotroski: 4/9

RYAN

Buy

56

out of 100

Grade: C

Growth: 9.3Profit: 6.5Value: 4.7Quality: 3.0
Piotroski: 3/9Altman Z: 0.61

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACT5 strengths · Avg: 9.8/10
P/E RatioValuation
9.2x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Profit MarginProfitability
54.5%10/10

Keeps 55 of every $100 in revenue as profit

Operating MarginProfitability
72.3%10/10

Strong operational efficiency at 72.3%

Debt/EquityHealth
0.149/10

Conservative balance sheet, low leverage

RYAN3 strengths · Avg: 9.0/10
EPS GrowthGrowth
110.1%10/10

Earnings expanding 110.1% YoY

Return on EquityProfitability
20.7%9/10

Every $100 of equity generates 21 in profit

Revenue GrowthGrowth
15.8%8/10

15.8% revenue growth

Areas to Watch

ACT1 concerns · Avg: 4.0/10
Revenue GrowthGrowth
1.7%4/10

1.7% revenue growth

RYAN4 concerns · Avg: 2.5/10
Profit MarginProfitability
3.5%3/10

3.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
42.1x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-180.68M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : ACT

The strongest argument for ACT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 54.5% and operating margin at 72.3%.

Bull Case : RYAN

The strongest argument for RYAN centers on EPS Growth, Return on Equity, Revenue Growth. Revenue growth of 15.8% demonstrates continued momentum.

Bear Case : ACT

The primary concerns for ACT are Revenue Growth.

Bear Case : RYAN

The primary concerns for RYAN are Profit Margin, Piotroski F-Score, P/E Ratio. A P/E of 42.1x leaves little room for execution misses. Debt-to-equity of 5.88 is elevated, increasing financial risk.

Key Dynamics to Monitor

ACT profiles as a value stock while RYAN is a growth play — different risk/reward profiles.

RYAN carries more volatility with a beta of 0.64 — expect wider price swings.

RYAN is growing revenue faster at 15.8% — sustainability is the question.

ACT generates stronger free cash flow (224M), providing more financial flexibility.

Bottom Line

RYAN scores higher overall (56/100 vs 54/100) and 15.8% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Enact Holdings Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Enact Holdings Inc (ACT) is a leading provider of private mortgage insurance and risk management solutions within the U.S. housing sector, dedicated to enhancing homeownership accessibility and supporting sustainable housing initiatives. The company's robust capital structure and strategic partnerships allow it to adeptly navigate market complexities while fostering innovation and technological advancements. By focusing on lender capabilities and proactive risk management, Enact is strategically positioned to capitalize on growth opportunities in a dynamic real estate landscape.

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Ryan Specialty Group Holdings Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Ryan Specialty Group Holdings Inc is a leading provider of specialty insurance solutions, renowned for its innovative risk management services tailored to meet the diverse needs of its clients across various sectors. The company leverages its extensive network of insurance wholesale operations and underwriting proficiency to foster effective partnerships with insurers and distribution channels. By integrating advanced technology and analytics into its operations, Ryan Specialty enhances underwriting efficiencies and client outcomes, reinforcing its significance in the dynamic insurance landscape. With a strategic emphasis on growth and operational excellence, Ryan Specialty is well-positioned to create sustainable shareholder value amid an increasingly competitive market.

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