Capital Product Partners (NASDAQ:CPLP) and Top Ships (NASDAQ:TOPS) are both small-cap transportation companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, valuation, institutional ownership, dividends, risk and earnings.
Analyst Recommendations
This is a breakdown of current recommendations for Capital Product Partners and Top Ships, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Capital Product Partners | 0 | 1 | 2 | 0 | 2.67 |
Top Ships | 0 | 1 | 0 | 0 | 2.00 |
Capital Product Partners presently has a consensus price target of $10.1667, suggesting a potential downside of 4.00%. Top Ships has a consensus price target of $12.50, suggesting a potential upside of 662.20%. Given Top Ships' higher probable upside, analysts plainly believe Top Ships is more favorable than Capital Product Partners.
Profitability
This table compares Capital Product Partners and Top Ships' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Capital Product Partners | 21.29% | 6.97% | 3.58% |
Top Ships | N/A | N/A | N/A |
Earnings and Valuation
This table compares Capital Product Partners and Top Ships' top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Capital Product Partners | $108.37 million | 1.83 | $-122,460,000.00 | $0.83 | 12.89 |
Top Ships | $66.09 million | 0.96 | $-14,770,000.00 | N/A | N/A |
Top Ships has lower revenue, but higher earnings than Capital Product Partners.
Volatility & Risk
Capital Product Partners has a beta of 1.1, suggesting that its stock price is 10% more volatile than the S&P 500. Comparatively, Top Ships has a beta of 0.09, suggesting that its stock price is 91% less volatile than the S&P 500.
Institutional & Insider Ownership
17.3% of Capital Product Partners shares are held by institutional investors. Comparatively, 0.6% of Top Ships shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Summary
Capital Product Partners beats Top Ships on 9 of the 11 factors compared between the two stocks.