Reviewing Reliance Global Group (NASDAQ:RELI) and SelectQuote (NYSE:SLQT)

SelectQuote (NYSE:SLQT) and Reliance Global Group (NASDAQ:RELI) are both financial services companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, valuation, analyst recommendations, institutional ownership, profitability and dividends.

Analyst Ratings

This is a summary of current recommendations and price targets for SelectQuote and Reliance Global Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SelectQuote	0	3	0	0	2.00
Reliance Global Group	0	0	1	0	3.00

SelectQuote presently has a consensus target price of $2.50, indicating a potential upside of 121.24%. Reliance Global Group has a consensus target price of $4.00, indicating a potential upside of 67.36%. Given SelectQuote’s higher probable upside, equities analysts clearly believe SelectQuote is more favorable than Reliance Global Group.

Institutional & Insider Ownership

49.4% of SelectQuote shares are owned by institutional investors. 9.0% of SelectQuote shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares SelectQuote and Reliance Global Group’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SelectQuote	$1.00 billion	0.21	-$58.54 million	($0.35)	-3.63
Reliance Global Group	$17.99 million	N/A	N/A	N/A	N/A

Reliance Global Group has lower revenue, but higher earnings than SelectQuote.

Profitability

This table compares SelectQuote and Reliance Global Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SelectQuote	-5.84%	-13.03%	-3.81%
Reliance Global Group	N/A	N/A	N/A

Summary

Reliance Global Group beats SelectQuote on 5 of the 9 factors compared between the two stocks.

About SelectQuote

SelectQuote, Inc. operates a technology-enabled, direct-to-consumer distribution platform that sells a range of insurance products and healthcare services in the United States. The company operates through three segments: Senior; Life; and Auto & Home. It distributes senior health policies, such as medicare advantage, medicare supplement, medicare part D, and other ancillary senior health insurance related products, including prescription drugs, dental, vision, and hearing plans; life insurance products, such as term life, final expense, and other ancillary products, including critical illness, accidental death, and juvenile insurance; homeowners, auto, dwelling fire, and other ancillary insurance products; and non-commercial auto and home property, and casualty policies. The company also provides SelectRx, an accredited patient-centered pharmacy home pharmacy, which offers essential prescription medications, OTC medications, customized medication packaging, medication therapy management, and long-term pharmacy care; and population health that helps members understand the benefits available under their health plans, and contracts with insurance carriers. SelectQuote, Inc. was incorporated in 1999 and is headquartered in Overland Park, Kansas.

About Reliance Global Group

Reliance Global Group, Inc. engages in the acquisition and management of wholesale and retail insurance agencies in the United States. It provides healthcare and Medicare, personal and commercial, trucking, and insurance brokerage products. The company was formerly known as Ethos Media Network, Inc. and changed its name to Reliance Global Group, Inc. in October 2018. Reliance Global Group, Inc. was incorporated in 2013 and is headquartered in Lakewood, New Jersey.