AGO
Assured Guaranty Ltd.
Insurance - Specialty
Market Cap$3.70B
5Y Perf.+218.2%
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Stock Comparison
AGO vs RDN
Revenue, margins, valuation, and 5-year total return — side by side.
RDN
Radian Group Inc.
Insurance - Specialty
Market Cap$5.13B
5Y Perf.+136.9%
AGO vs RDN — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | AGO | RDN |
|---|---|---|
| Industry | Insurance - Specialty | Insurance - Specialty |
| Market Cap | $3.70B | $5.13B |
| Revenue (TTM) | $1.01B | $1.25B |
| Net Income (TTM) | $503M | $583M |
| Gross Margin | 92.9% | 92.3% |
| Operating Margin | 65.2% | 61.2% |
| Forward P/E | 12.4x | 7.6x |
| Total Debt | $1.70B | $1.13B |
| Cash & Equiv. | $388M | $25M |
AGO vs RDN — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
AGO
RDN
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Assured Guaranty Lt… (AGO) | 100 | 318.2 | +218.2% |
| Radian Group Inc. (RDN) | 100 | 236.9 | +136.9% |
Price return only. Dividends and distributions are not included.
Quick Verdict: AGO vs RDN
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: RDN leads in 5 of 7 categories, making it the strongest pick for valuation and capital efficiency and capital preservation and lower volatility. Assured Guaranty Ltd. is the stronger pick specifically for growth and revenue expansion and profitability and margin quality. As sector peers, any of these can serve as alternatives in the same allocation.
AGO
Assured Guaranty Ltd.
The Insurance Pick
AGO is the clearest fit if your priority is growth exposure.
- Rev growth -3.2%, EPS growth 48.2%, 3Y rev CAGR 4.8%
- -3.2% revenue growth vs RDN's -3.4%
- Combined ratio 0.2 vs RDN's 0.4 (lower = better underwriting)
Best for: growth exposure
RDN
Radian Group Inc.
The Insurance Pick
RDN carries the broadest edge in this set and is the clearest fit for income & stability and long-term compounding.
- Dividend streak 11 yrs, beta 0.37, yield 2.8%
- 250.2% 10Y total return vs AGO's 249.3%
- Lower volatility, beta 0.37, Low D/E 23.7%, current ratio 4.28x
Best for: income & stability and long-term compounding
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | AGO | -3.2% revenue growth vs RDN's -3.4% |
| Value | RDN | Lower P/E (7.6x vs 12.4x), PEG 0.49 vs 1.09 |
| Quality / Margins | AGO | Combined ratio 0.2 vs RDN's 0.4 (lower = better underwriting) |
| Stability / Safety | RDN | Beta 0.37 vs AGO's 0.45, lower leverage |
| Dividends | RDN | 2.8% yield, 11-year raise streak, vs AGO's 1.7% |
| Momentum (1Y) | RDN | +14.3% vs AGO's -4.3% |
| Efficiency (ROA) | RDN | 6.7% ROA vs AGO's 4.2%, ROIC 8.9% vs 7.0% |
AGO vs RDN — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2025
FY 2025
AGO vs RDN — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLAGOLAGGINGRDN
RDNRadian Group Inc.
2leads
AGOAssured Guaranty Ltd.
2leads
6 Total Categories
CATEGORYLEADERvs RDNMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
AGO6/6
Valuation MetricsMultiples, price ratios, and targets
AGO5/7
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
RDN8/8
Total Returns1Y, 3Y, 5Y total returns with dividends
Tied
—
Risk & VolatilityBeta, volatility, and downside exposure
RDN2/2
Analyst OutlookRatings, price targets, and dividends
Tied
—
Income & Cash Flow (Last 12 Months)
AGO leads this category, winning 6 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
RDN and AGO operate at a comparable scale, with $1.2B and $1.0B in trailing revenue. Profitability is closely matched — net margins range from 49.6% (AGO) to 46.7% (RDN). On growth, AGO holds the edge at +40.1% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | AGOAssured Guaranty … | RDNRadian Group Inc. |
|---|---|---|
| RevenueTrailing 12 months | $1.0B | $1.2B |
| EBITDAEarnings before interest/tax | $751M | $807M |
| Net IncomeAfter-tax profit | $503M | $583M |
| Free Cash FlowCash after capex | $259M | $116M |
| Gross MarginGross profit ÷ Revenue | +92.9% | +92.3% |
| Operating MarginEBIT ÷ Revenue | +65.2% | +61.2% |
| Net MarginNet income ÷ Revenue | +49.6% | +46.7% |
| FCF MarginFCF ÷ Revenue | +25.5% | +9.3% |
| Rev. Growth (YoY)Latest quarter vs prior year | +40.1% | -5.0% |
| EPS Growth (YoY)Latest quarter vs prior year | +5.9% | +17.3% |
AGO leads this category, winning 6 of 6 comparable metrics.
Valuation Metrics
AGO leads this category, winning 5 of 7 comparable metrics.
Valuation Metrics
At 8.1x trailing earnings, AGO trades at a 11% valuation discount to RDN's 9.1x P/E. Adjusting for growth (PEG ratio), AGO offers better value at 0.42x vs RDN's 0.58x — a lower PEG means you pay less per unit of expected earnings growth.
| Metric | AGOAssured Guaranty … | RDNRadian Group Inc. |
|---|---|---|
| Market CapShares × price | $3.7B | $5.1B |
| Enterprise ValueMkt cap + debt − cash | $5.0B | $6.2B |
| Trailing P/EPrice ÷ TTM EPS | 8.11x | 9.09x |
| Forward P/EPrice ÷ next-FY EPS est. | 12.44x | 7.63x |
| PEG RatioP/E ÷ EPS growth rate | 0.42x | 0.58x |
| EV / EBITDAEnterprise value multiple | 6.68x | 7.73x |
| Price / SalesMarket cap ÷ Revenue | 4.70x | 4.11x |
| Price / BookPrice ÷ Book value/share | 0.70x | 1.09x |
| Price / FCFMarket cap ÷ FCF | 14.29x | 15.23x |
AGO leads this category, winning 5 of 7 comparable metrics.
Profitability & Efficiency
RDN leads this category, winning 8 of 8 comparable metrics.
Profitability & Efficiency
RDN delivers a 12.6% return on equity — every $100 of shareholder capital generates $13 in annual profit, vs $9 for AGO. RDN carries lower financial leverage with a 0.24x debt-to-equity ratio, signaling a more conservative balance sheet compared to AGO's 0.29x.
| Metric | AGOAssured Guaranty … | RDNRadian Group Inc. |
|---|---|---|
| ROE (TTM)Return on equity | +8.8% | +12.6% |
| ROA (TTM)Return on assets | +4.2% | +6.7% |
| ROICReturn on invested capital | +7.0% | +8.9% |
| ROCEReturn on capital employed | +5.5% | +10.2% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 5 |
| Debt / EquityFinancial leverage | 0.29x | 0.24x |
| Net DebtTotal debt minus cash | $1.3B | $1.1B |
| Cash & Equiv.Liquid assets | $388M | $25M |
| Total DebtShort + long-term debt | $1.7B | $1.1B |
| Interest CoverageEBIT ÷ Interest expense | 8.44x | 12.64x |
RDN leads this category, winning 8 of 8 comparable metrics.
Total Returns (Dividends Reinvested)
Evenly matched — AGO and RDN each lead in 3 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in AGO five years ago would be worth $18,165 today (with dividends reinvested), compared to $17,795 for RDN. Over the past 12 months, RDN leads with a +14.3% total return vs AGO's -4.3%. The 3-year compound annual growth rate (CAGR) favors AGO at 17.8% vs RDN's 17.7% — a key indicator of consistent wealth creation.
| Metric | AGOAssured Guaranty … | RDNRadian Group Inc. |
|---|---|---|
| YTD ReturnYear-to-date | -6.6% | +5.4% |
| 1-Year ReturnPast 12 months | -4.3% | +14.3% |
| 3-Year ReturnCumulative with dividends | +63.5% | +63.2% |
| 5-Year ReturnCumulative with dividends | +81.6% | +77.9% |
| 10-Year ReturnCumulative with dividends | +249.3% | +250.2% |
| CAGR (3Y)Annualised 3-year return | +17.8% | +17.7% |
Evenly matched — AGO and RDN each lead in 3 of 6 comparable metrics.
Risk & Volatility
RDN leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
RDN is the less volatile stock with a 0.37 beta — it tends to amplify market swings less than AGO's 0.45 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. RDN currently trades 96.9% from its 52-week high vs AGO's 89.3% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | AGOAssured Guaranty … | RDNRadian Group Inc. |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.45x | 0.37x |
| 52-Week HighHighest price in past year | $92.40 | $38.84 |
| 52-Week LowLowest price in past year | $78.77 | $31.50 |
| % of 52W HighCurrent price vs 52-week peak | +89.3% | +96.9% |
| RSI (14)Momentum oscillator 0–100 | 46.7 | 57.0 |
| Avg Volume (50D)Average daily shares traded | 309K | 1.2M |
RDN leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Evenly matched — AGO and RDN each lead in 1 of 2 comparable metrics.
Analyst Outlook
Wall Street rates AGO as "Buy" and RDN as "Buy". Consensus price targets imply 13.9% upside for AGO (target: $94) vs 6.3% for RDN (target: $40). For income investors, RDN offers the higher dividend yield at 2.80% vs AGO's 1.67%.
| Metric | AGOAssured Guaranty … | RDNRadian Group Inc. |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Buy |
| Price TargetConsensus 12-month target | $94.00 | $40.00 |
| # AnalystsCovering analysts | 9 | 22 |
| Dividend YieldAnnual dividend ÷ price | +1.7% | +2.8% |
| Dividend StreakConsecutive years of raises | 16 | 11 |
| Dividend / ShareAnnual DPS | $1.38 | $1.06 |
| Buyback YieldShare repurchases ÷ mkt cap | +13.5% | +8.4% |
Evenly matched — AGO and RDN each lead in 1 of 2 comparable metrics.
Key Takeaway
AGO leads in 2 of 6 categories (Income & Cash Flow, Valuation Metrics). RDN leads in 2 (Profitability & Efficiency, Risk & Volatility). 2 tied.
Best OverallAssured Guaranty Ltd. (AGO)Leads 2 of 6 categories
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AGO vs RDN: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is AGO or RDN a better buy right now?
For growth investors, Assured Guaranty Ltd.
(AGO) is the stronger pick with -3. 2% revenue growth year-over-year, versus -3. 4% for Radian Group Inc. (RDN). Assured Guaranty Ltd. (AGO) offers the better valuation at 8. 1x trailing P/E (12. 4x forward), making it the more compelling value choice. Analysts rate Assured Guaranty Ltd. (AGO) a "Buy" — based on 9 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — AGO or RDN?
On trailing P/E, Assured Guaranty Ltd.
(AGO) is the cheapest at 8. 1x versus Radian Group Inc. at 9. 1x. On forward P/E, Radian Group Inc. is actually cheaper at 7. 6x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Radian Group Inc. wins at 0. 49x versus Assured Guaranty Ltd. 's 1. 09x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.
03Which is the better long-term investment — AGO or RDN?
Over the past 5 years, Assured Guaranty Ltd.
(AGO) delivered a total return of +81. 6%, compared to +77. 9% for Radian Group Inc. (RDN). Over 10 years, the gap is even starker: RDN returned +250. 2% versus AGO's +249. 3%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — AGO or RDN?
By beta (market sensitivity over 5 years), Radian Group Inc.
(RDN) is the lower-risk stock at 0. 37β versus Assured Guaranty Ltd. 's 0. 45β — meaning AGO is approximately 19% more volatile than RDN relative to the S&P 500. On balance sheet safety, Radian Group Inc. (RDN) carries a lower debt/equity ratio of 24% versus 29% for Assured Guaranty Ltd. — giving it more financial flexibility in a downturn.
05Which is growing faster — AGO or RDN?
By revenue growth (latest reported year), Assured Guaranty Ltd.
(AGO) is pulling ahead at -3. 2% versus -3. 4% for Radian Group Inc. (RDN). On earnings-per-share growth, the picture is similar: Assured Guaranty Ltd. grew EPS 48. 2% year-over-year, compared to 5. 6% for Radian Group Inc.. Over a 3-year CAGR, AGO leads at 4. 8% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — AGO or RDN?
Assured Guaranty Ltd.
(AGO) is the more profitable company, earning 63. 8% net margin versus 46. 7% for Radian Group Inc. — meaning it keeps 63. 8% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: AGO leads at 84. 0% versus 61. 2% for RDN. At the gross margin level — before operating expenses — AGO leads at 92. 9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is AGO or RDN more undervalued right now?
The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.
By this metric, Radian Group Inc. (RDN) is the more undervalued stock at a PEG of 0. 49x versus Assured Guaranty Ltd. 's 1. 09x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Radian Group Inc. (RDN) trades at 7. 6x forward P/E versus 12. 4x for Assured Guaranty Ltd. — 4. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for AGO: 13. 9% to $94. 00.
08Which pays a better dividend — AGO or RDN?
All stocks in this comparison pay dividends.
Radian Group Inc. (RDN) offers the highest yield at 2. 8%, versus 1. 7% for Assured Guaranty Ltd. (AGO).
09Is AGO or RDN better for a retirement portfolio?
For long-horizon retirement investors, Radian Group Inc.
(RDN) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 37), 2. 8% yield, +250. 2% 10Y return). Both have compounded well over 10 years (RDN: +250. 2%, AGO: +249. 3%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between AGO and RDN?
Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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Revenue Growth>
%
(AGO: 40.1% · RDN: -5.0%)Net Margin>
%
(AGO: 49.6% · RDN: 46.7%)P/E Ratio<
x
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