B&M European Value Retail (OTCMKTS:BMRRY) and AO World (OTCMKTS:AOWDF) are both consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, valuation, profitability, analyst recommendations, institutional ownership, risk and dividends.
Analyst Recommendations
This is a summary of current recommendations for B&M European Value Retail and AO World, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
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B&M European Value Retail | 0 | 7 | 2 | 0 | 2.22 |
AO World | 0 | 2 | 0 | 0 | 2.00 |
Profitability
This table compares B&M European Value Retail and AO World's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
B&M European Value Retail | N/A | N/A | N/A |
AO World | N/A | N/A | N/A |
Risk and Volatility
B&M European Value Retail has a beta of 1.36, suggesting that its stock price is 36% more volatile than the S&P 500. Comparatively, AO World has a beta of -0.13, suggesting that its stock price is 113% less volatile than the S&P 500.
Insider and Institutional Ownership
0.0% of B&M European Value Retail shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Valuation & Earnings
This table compares B&M European Value Retail and AO World's revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
B&M European Value Retail | $4.85 billion | 1.57 | $114.46 million | $1.03 | 29.52 |
AO World | $1.33 billion | 1.48 | $2.16 million | ($0.02) | -214.00 |
B&M European Value Retail has higher revenue and earnings than AO World. AO World is trading at a lower price-to-earnings ratio than B&M European Value Retail, indicating that it is currently the more affordable of the two stocks.
Summary
B&M European Value Retail beats AO World on 9 of the 9 factors compared between the two stocks.