Grafton Group (GFTU) Competitors

Diploma (LON:DPLM) and Grafton Group (LON:GFTU) are both industrials companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, earnings, institutional ownership, dividends, valuation, media sentiment, analyst recommendations and risk.

Is DPLM or GFTU a better dividend stock?

Diploma pays an annual dividend of GBX 57 per share and has a dividend yield of 1.2%. Grafton Group pays an annual dividend of GBX 37 per share and has a dividend yield of 3.7%. Diploma pays out 65.5% of its earnings in the form of a dividend. Grafton Group pays out 56.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Grafton Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Which has more risk and volatility, DPLM or GFTU?

Diploma has a beta of 0.75, indicating that its stock price is 25% less volatile than the S&P 500. Comparatively, Grafton Group has a beta of 1.6, indicating that its stock price is 60% more volatile than the S&P 500.

Do insiders & institutionals have more ownership in DPLM or GFTU?

81.5% of Diploma shares are owned by institutional investors. Comparatively, 58.3% of Grafton Group shares are owned by institutional investors. 0.5% of Diploma shares are owned by company insiders. Comparatively, 11.5% of Grafton Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Does the media favor DPLM or GFTU?

In the previous week, Diploma had 1 more articles in the media than Grafton Group. MarketBeat recorded 2 mentions for Diploma and 1 mentions for Grafton Group. Grafton Group's average media sentiment score of 1.11 beat Diploma's score of 0.20 indicating that Grafton Group is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Diploma	0 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Grafton Group	1 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has higher valuation and earnings, DPLM or GFTU?

Grafton Group has higher revenue and earnings than Diploma. Grafton Group is trading at a lower price-to-earnings ratio than Diploma, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Diploma	£1.25B	5.17	£115.40M	£87.00	55.66
Grafton Group	£2.21B	0.89	£127.90M	£65.21	15.25

Do analysts prefer DPLM or GFTU?

Diploma presently has a consensus price target of GBX 4,760, suggesting a potential downside of 1.69%. Grafton Group has a consensus price target of GBX 1,100, suggesting a potential upside of 10.61%. Given Grafton Group's stronger consensus rating and higher probable upside, analysts plainly believe Grafton Group is more favorable than Diploma.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Diploma	0 Sell rating(s)	2 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.33
Grafton Group	0 Sell rating(s)	0 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	3.00

Is DPLM or GFTU more profitable?

Diploma has a net margin of 9.25% compared to Grafton Group's net margin of 5.79%. Diploma's return on equity of 13.18% beat Grafton Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Diploma	9.25%	13.18%	8.32%
Grafton Group	5.79%	8.08%	3.60%

Summary

Grafton Group beats Diploma on 9 of the 17 factors compared between the two stocks.