Metro (MRU) Competitors

Loblaw Companies (TSE:L) and Metro (TSE:MRU) are both large-cap consumer defensive companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, earnings, dividends, media sentiment, analyst recommendations, institutional ownership and profitability.

Does the media prefer L or MRU?

In the previous week, Loblaw Companies and Loblaw Companies both had 2 articles in the media. Loblaw Companies' average media sentiment score of 0.32 beat Metro's score of 0.00 indicating that Loblaw Companies is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Loblaw Companies	1 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Metro	0 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Is L or MRU more profitable?

Metro has a net margin of 4.50% compared to Loblaw Companies' net margin of 3.71%. Loblaw Companies' return on equity of 19.90% beat Metro's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Loblaw Companies	3.71%	19.90%	5.89%
Metro	4.50%	13.80%	6.40%

Do insiders and institutionals have more ownership in L or MRU?

20.7% of Loblaw Companies shares are held by institutional investors. Comparatively, 46.8% of Metro shares are held by institutional investors. 53.8% of Loblaw Companies shares are held by insiders. Comparatively, 0.1% of Metro shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Which has better valuation and earnings, L or MRU?

Loblaw Companies has higher revenue and earnings than Metro. Metro is trading at a lower price-to-earnings ratio than Loblaw Companies, 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
Loblaw Companies	C$60.23B	1.13	C$2.23B	C$7.37	30.54
Metro	C$21.29B	1.10	C$957.36M	C$4.33	24.39

Which has more volatility & risk, L or MRU?

Loblaw Companies has a beta of 0.17, suggesting that its stock price is 83% less volatile than the S&P 500. Comparatively, Metro has a beta of 0.08, suggesting that its stock price is 92% less volatile than the S&P 500.

Is L or MRU a better dividend stock?

Loblaw Companies pays an annual dividend of C$2.05 per share and has a dividend yield of 0.9%. Metro pays an annual dividend of C$1.34 per share and has a dividend yield of 1.3%. Loblaw Companies pays out 27.8% of its earnings in the form of a dividend. Metro pays out 30.9% 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.

Do analysts prefer L or MRU?

Loblaw Companies currently has a consensus price target of C$236.88, indicating a potential upside of 5.28%. Metro has a consensus price target of C$104.22, indicating a potential downside of 1.37%. Given Loblaw Companies' stronger consensus rating and higher probable upside, analysts plainly believe Loblaw Companies is more favorable than Metro.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Loblaw Companies	0 Sell rating(s)	1 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	2.86
Metro	0 Sell rating(s)	4 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.43

Summary

Loblaw Companies beats Metro on 13 of the 17 factors compared between the two stocks.