Ricardo (RCDO) Competitors

Alpha Financial Markets Consulting (LON:AFM) and Ricardo (LON:RCDO) are both small-cap industrials companies, but which is the better stock? We will contrast the two businesses based on the strength of their media sentiment, earnings, profitability, risk, analyst recommendations, valuation, institutional ownership and dividends.

Is AFM or RCDO more profitable?

Alpha Financial Markets Consulting has a net margin of 6.78% compared to Ricardo's net margin of 0.15%. Alpha Financial Markets Consulting's return on equity of 10.64% beat Ricardo's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Alpha Financial Markets Consulting	6.78%	10.64%	7.51%
Ricardo	0.15%	0.42%	4.91%

Which has more risk & volatility, AFM or RCDO?

Alpha Financial Markets Consulting has a beta of 1.02, indicating that its share price is 2% more volatile than the S&P 500. Comparatively, Ricardo has a beta of 0.58, indicating that its share price is 42% less volatile than the S&P 500.

Is AFM or RCDO a better dividend stock?

Alpha Financial Markets Consulting pays an annual dividend of GBX 14 per share. Ricardo pays an annual dividend of GBX 13 per share and has a dividend yield of 3.0%. Alpha Financial Markets Consulting pays out 10,769.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Ricardo pays out 1,144.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Ricardo is clearly the better dividend stock, given its higher yield and lower payout ratio.

Do insiders & institutionals believe in AFM or RCDO?

96.8% of Alpha Financial Markets Consulting shares are owned by institutional investors. Comparatively, 82.3% of Ricardo shares are owned by institutional investors. 8.4% of Alpha Financial Markets Consulting shares are owned by insiders. Comparatively, 2.4% of Ricardo shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Does the media favor AFM or RCDO?

In the previous week, Ricardo had 2 more articles in the media than Alpha Financial Markets Consulting. MarketBeat recorded 2 mentions for Ricardo and 0 mentions for Alpha Financial Markets Consulting. Ricardo's average media sentiment score of 0.67 beat Alpha Financial Markets Consulting's score of 0.00 indicating that Ricardo is being referred to more favorably in the news media.

Company	Overall Sentiment
Alpha Financial Markets Consulting	Neutral
Ricardo	Positive

Which has stronger earnings & valuation, AFM or RCDO?

Alpha Financial Markets Consulting has higher earnings, but lower revenue than Ricardo. Alpha Financial Markets Consulting is trading at a lower price-to-earnings ratio than Ricardo, 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
Alpha Financial Markets Consulting	£233.62M	0.00	£15.85M	£0.13	N/A
Ricardo	£469.99M	0.56	£693.06K	£1.14	376.90

Do analysts prefer AFM or RCDO?

Ricardo has a consensus price target of GBX 730, indicating a potential upside of 70.56%. Given Ricardo's stronger consensus rating and higher possible upside, analysts plainly believe Ricardo is more favorable than Alpha Financial Markets Consulting.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alpha Financial Markets Consulting	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00
Ricardo	0 Sell rating(s)	1 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.50

Summary

Ricardo beats Alpha Financial Markets Consulting on 9 of the 17 factors compared between the two stocks.