BBQ (NASDAQ:BBQ) and Fiesta Restaurant Group (NASDAQ:FRGI) are both small-cap retail/wholesale companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, dividends, risk, earnings and valuation.
Earnings & Valuation
This table compares BBQ and Fiesta Restaurant Group's revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
BBQ | $82.27 million | 1.19 | $-650,000.00 | N/A | N/A |
Fiesta Restaurant Group | $660.94 million | 0.54 | $-84,390,000.00 | $0.35 | 38.91 |
BBQ has higher earnings, but lower revenue than Fiesta Restaurant Group.
Risk and Volatility
BBQ has a beta of 1.86, suggesting that its share price is 86% more volatile than the S&P 500. Comparatively, Fiesta Restaurant Group has a beta of 2.16, suggesting that its share price is 116% more volatile than the S&P 500.
Institutional & Insider Ownership
49.3% of BBQ shares are held by institutional investors. 41.0% of BBQ shares are held by insiders. Comparatively, 1.5% of Fiesta Restaurant Group shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.
Profitability
This table compares BBQ and Fiesta Restaurant Group's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
BBQ | 5.48% | -12.03% | -2.70% |
Fiesta Restaurant Group | -5.68% | -3.24% | -0.82% |
Analyst Ratings
This is a summary of recent recommendations and price targets for BBQ and Fiesta Restaurant Group, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
BBQ | 0 | 0 | 1 | 0 | 3.00 |
Fiesta Restaurant Group | 0 | 1 | 1 | 0 | 2.50 |
BBQ presently has a consensus price target of $15.00, suggesting a potential upside of 42.18%. Fiesta Restaurant Group has a consensus price target of $14.00, suggesting a potential upside of 2.79%. Given BBQ's stronger consensus rating and higher possible upside, research analysts plainly believe BBQ is more favorable than Fiesta Restaurant Group.
Summary
BBQ beats Fiesta Restaurant Group on 8 of the 12 factors compared between the two stocks.