Abacus Life (NASDAQ:ABL) & ArrowMark Financial (NASDAQ:BANX) Head-To-Head Analysis

Abacus Life (NASDAQ:ABL) and ArrowMark Financial (NASDAQ:BANX) are both small-cap finance companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Insider & Institutional Ownership

24.9% of ArrowMark Financial shares are held by institutional investors. 79.2% of Abacus Life shares are held by company insiders. Comparatively, 0.5% of ArrowMark Financial shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings for Abacus Life and ArrowMark Financial, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Abacus Life	0	0	5	1	3.17
ArrowMark Financial	0	0	0	0	0.00

Abacus Life currently has a consensus price target of $14.70, suggesting a potential upside of 90.41%. Given Abacus Life’s stronger consensus rating and higher probable upside, equities analysts plainly believe Abacus Life is more favorable than ArrowMark Financial.

Profitability

This table compares Abacus Life and ArrowMark Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Abacus Life	-11.65%	12.88%	6.51%
ArrowMark Financial	N/A	N/A	N/A

Risk and Volatility

Abacus Life has a beta of 0.14, indicating that its share price is 86% less volatile than the S&P 500. Comparatively, ArrowMark Financial has a beta of 0.45, indicating that its share price is 55% less volatile than the S&P 500.

Valuation and Earnings

This table compares Abacus Life and ArrowMark Financial”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Abacus Life	$102.41 million	6.38	$9.52 million	($0.18)	-42.89
ArrowMark Financial	$21.34 million	7.07	$12.63 million	N/A	N/A

ArrowMark Financial has lower revenue, but higher earnings than Abacus Life.

Summary

Abacus Life beats ArrowMark Financial on 8 of the 13 factors compared between the two stocks.

About Abacus Life

Abacus Life, Inc. operates as an alternative asset manager specializing in life insurance products. It purchases life insurance policies from consumers seeking liquidity and manages policies over time via trading, holding, and/or servicing. The company was founded in 2004 and is based in Orlando, Florida.

About ArrowMark Financial

ArrowMark Financial Corp. is a closed-end balanced mutual fund launched and managed by ArrowMark Asset Management, LLC. It invests in public equity and fixed income markets of global region. For its equity portion, the fund invests in stocks of companies operating across financials, banks sectors. It invests in growth and value stocks of companies across diversified market capitalization. For its fixed income portion, the fund invests in debt and subordinated debt, structured notes and securities, regulatory capital securities which are rated below investment grade. ArrowMark Financial Corp. was formed on February 7, 2013 and is domiciled in the United States.