Investors interested in Insurance - Brokerage stocks are likely familiar with eToro Group Ltd. (ETOR) and Aon (AON) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our ...

Core Viewpoint - The analyst previously held a hold rating for eToro Group (ETOR) due to unattractive valuation and volatile earnings from crypto exposure, alongside a competitive landscape [1] Group 1: Investment Philosophy - The investment approach is fundamentally driven, focusing on identifying businesses with potential for scaling and unlocking significant terminal value [1] - Key factors considered include competitive moat, unit economics, reinvestment runway, and management quality, which are essential for long-term free cash flow generation and shareholder value creation [1] - The analyst emphasizes the importance of fundamental research and targets sectors with strong secular tailwinds [1] Group 2: Professional Background - The analyst has 10 years of self-educated investment experience and currently manages personal funds sourced from friends and family [1] - The motivation for writing on Seeking Alpha is to share investment insights and receive feedback from fellow investors [1] - The aim is to help readers focus on the drivers of long-term equity value, advocating for analysis that is both analytical and accessible [1]

Core Viewpoint - eToro's stock is currently trading at levels reminiscent of unprofitable SPACs from 2021, despite the company's business model and fundamentals being significantly different from that era [1] Group 1: Company Performance - eToro's stock has declined sharply from its IPO price, indicating potential undervaluation in the current market [1] - The company is characterized by a strong focus on identifying growth stories at reasonable prices, supported by robust economic moats [1] Group 2: Investment Analysis - The analysis emphasizes the importance of conducting high-quality evaluations, including deep dives into valuations, key business drivers, and risk/reward scenarios [1]

Core Viewpoint - The article compares eToro Group Ltd. (ETOR) and Marsh & McLennan (MMC) to determine which stock is a better undervalued investment option for investors in the Insurance - Brokerage sector [1] Group 1: Zacks Rank and Earnings Outlook - eToro Group Ltd. has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while Marsh & McLennan has a Zacks Rank of 3 (Hold) [3] - The Zacks Rank system emphasizes companies with positive earnings estimate revisions, suggesting that ETOR has an improving earnings outlook [3][6] Group 2: Valuation Metrics - ETOR has a forward P/E ratio of 15.62, compared to MMC's forward P/E of 18.83, indicating that ETOR may be undervalued relative to MMC [5] - The PEG ratio for ETOR is 2.15, while MMC's PEG ratio is 3.11, further suggesting that ETOR has a more favorable valuation considering expected EPS growth [5] - ETOR's P/B ratio is 2.42, significantly lower than MMC's P/B of 5.77, reinforcing the notion that ETOR is a better value option [6] Group 3: Value Grades - Based on various valuation metrics, ETOR has earned a Value grade of A, while MMC has a Value grade of D, indicating that ETOR is currently viewed as the superior value investment [6]

Core Insights - eToro Group Ltd. reported selected monthly business metrics for November 2025, highlighting significant changes in trading activity and financial performance compared to the previous year [1][4]. Trading Activity - The total number of trades in Capital markets/ECC reached 46.3 million, representing a 16% increase year-over-year from 39.9 million in November 2024 [2][7]. - The invested amount per trade in Capital markets/ECC decreased by 13%, from $308 to $269 [2][7]. - In the Cryptoassets category, the number of trades fell to 5.0 million, a decline of 48% from 9.6 million in the previous year [2][7]. - The invested amount per trade in Cryptoassets also saw a decrease of 28%, dropping from $368 to $264 [2][7]. Financial Metrics - Interest Earning Assets increased by 21% year-over-year, rising from $6.3 billion to $7.6 billion [2][7]. - Total Money Transfers remained unchanged at $1.1 billion compared to the previous year [2][7]. - Assets Under Administration (AUA) grew by 9%, from $17.3 billion to $18.8 billion [2][7]. - Funded Accounts increased by 10%, reaching 3.79 million, up from 3.44 million [2][7].

Core Viewpoint - eToro Group Ltd. (ETOR) has shown a significant price increase of 13.3% over the past four weeks, with a mean price target of $60.06 indicating a potential upside of 43.1% from its current trading price of $41.97 [1] Price Targets and Analyst Consensus - The average price target for ETOR consists of 16 short-term estimates, ranging from a low of $46.00 to a high of $85.00, with a standard deviation of $11.1, suggesting variability in analyst predictions [2] - The lowest estimate indicates a potential increase of 9.6%, while the highest suggests a remarkable upside of 102.5% [2] - A low standard deviation among price targets indicates a strong agreement among analysts regarding the stock's price movement direction [9] Earnings Estimates and Analyst Optimism - Analysts have shown increasing optimism about ETOR's earnings prospects, as evidenced by a strong consensus in revising EPS estimates higher, which correlates with potential stock price increases [11] - The Zacks Consensus Estimate for the current year has risen by 6.2% over the past month, with two estimates increasing and no negative revisions [12] - ETOR holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate factors, indicating strong potential for upside [13] Caution on Price Targets - While price targets are often sought after by investors, they can be misleading and should not be the sole basis for investment decisions [3][10] - Analysts may set overly optimistic price targets due to business incentives, which can inflate expectations [8]

Core Insights - Five stocks have been added to the Zacks Rank 1 (Strong Buy) List, indicating strong potential for investment Group 1: Company Performance - Roku (ROKU) is the leading TV streaming platform provider in the U.S., Canada, and Mexico, with a Zacks Consensus Estimate for current year earnings increasing by 83.3% over the last 60 days [1] - AvePoint (AVPT), a data management solutions provider, has seen its Zacks Consensus Estimate for current year earnings increase by 18.5% over the last 60 days [1] - eToro Group Ltd. (ETOR), engaged in trading and investing, has experienced an 8% increase in its Zacks Consensus Estimate for current year earnings over the last 60 days [2] - Northrim BanCorp (NRIM), a full-service commercial bank, has seen a 6.4% increase in its Zacks Consensus Estimate for current year earnings over the last 60 days [2] - OptimizeRx (OPRX), which provides platforms to help patients afford and comply with healthcare products, has seen a 6% increase in its Zacks Consensus Estimate for current year earnings over the last 60 days [3]

Core Viewpoint - eToro Group Ltd. (ETOR) shares have increased by 1.9% recently, with analysts suggesting a potential upside of 56.7% based on a mean price target of $61.5 [1][11]. Price Targets and Analyst Estimates - The mean estimate consists of 16 short-term price targets, with a standard deviation of $11.85, indicating variability among analysts [2]. - The lowest estimate is $45.00, suggesting a 14.6% increase, while the highest estimate is $85.00, indicating a potential surge of 116.5% [2]. - Analysts' price targets can often mislead investors, as empirical research shows they rarely indicate actual stock price movements [7][10]. Earnings Estimates and Analyst Agreement - Strong agreement among analysts regarding ETOR's earnings prospects supports the expectation of an upside, as indicated by positive revisions in earnings estimates [4][11]. - Over the past 30 days, two earnings estimates for ETOR have increased, leading to a 6.2% rise in the Zacks Consensus Estimate [12]. - ETOR holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate factors [13]. Conclusion on Price Movement - While the consensus price target may not be a reliable indicator of potential gains, the direction implied by these targets appears to be a useful guide for further research [14].

Core Insights - The retail investment platform eToro has experienced significant growth, with assets under administration increasing by 76% year-over-year to $20.8 billion in Q3 [1] - eToro has over 40 million registered users across 75 countries and went public on NASDAQ in May 2023 [1] Retail Investor Trends - There is a notable shift in wealth generation among younger generations (Gen Y and Gen Z), who are increasingly aware of inflation and the need to invest to preserve wealth [4] - Approximately 60% of households globally are now exposed to the stock market, compared to only 10% in Europe [4] - The number of individuals investing in digital currencies has reached 400 million worldwide [5] eToro's Unique Features - eToro allows users to view and copy the portfolios of top investors, fostering a community where individuals can learn from one another [9][11] - The platform has introduced an AI studio that enables users to interact with AI-driven insights based on the strategies of renowned investors like Warren Buffett and Benjamin Graham [14][15] Future of Investing - The integration of AI and digital assets is expected to transform retail investing, making sophisticated investment strategies accessible to everyday investors [17][18] - eToro's AI analyst can provide real-time insights into market impacts on user portfolios, enhancing the investment experience [16] Performance of Top Investors - eToro has highlighted the success of its top investors, with one investor increasing their copied assets from $50 million to $250 million, achieving an average return of 29% over five years [20] - Another investor has generated approximately 31% returns over a 12-year period [21]

Core Insights - "Copy + paste" is emerging as a popular investment strategy, allowing investors to emulate successful figures like Warren Buffett and Peter Lynch [2] - Brokerages are leveraging social networks and automated portfolios to promote copy trading to American investors [2][5] - The launch of new platforms, such as the Dub app, is facilitating the sharing of trades and investment strategies among users [5] Industry Trends - A significant portion of eToro's user base, approximately one-third of its nearly 4 million accounts, utilizes its copy-trading feature, indicating strong demand [6] - eToro reported a 15% increase in trades in the last quarter, attributed to the growing popularity of copy trading [6] - The eToro app showcases a variety of traders with their performance metrics, enhancing user engagement and investment decision-making [7] Company Developments - The Dub app, described as the first U.S. regulated copy-trading platform, allows users to mirror trades of public figures, including politicians and celebrities [5] - Robinhood is set to introduce a "Social" product next year, further expanding the copy trading landscape [5] - eToro's founder emphasized that the copy-trading product will be a crucial growth driver in the U.S. market [8]