Critical Review: Cimpress (NASDAQ:CMPR) & CPI Card Group (NASDAQ:PMTS)

Cimpress (NASDAQ:CMPRGet Rating) and CPI Card Group (NASDAQ:PMTSGet Rating) are both small-cap consumer discretionary companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, institutional ownership, risk, dividends, valuation and earnings.

Insider and Institutional Ownership

80.9% of Cimpress shares are held by institutional investors. Comparatively, 7.9% of CPI Card Group shares are held by institutional investors. 18.1% of Cimpress shares are held by company insiders. Comparatively, 5.5% of CPI Card Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk and Volatility

Cimpress has a beta of 1.49, suggesting that its share price is 49% more volatile than the S&P 500. Comparatively, CPI Card Group has a beta of 1.34, suggesting that its share price is 34% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Cimpress and CPI Card Group, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Cimpress 0 0 0 0 N/A
CPI Card Group 0 0 0 0 N/A

Cimpress currently has a consensus price target of $130.00, indicating a potential upside of 157.37%. Given Cimpress’ higher probable upside, analysts clearly believe Cimpress is more favorable than CPI Card Group.

Profitability

This table compares Cimpress and CPI Card Group’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Cimpress -2.67% -1.47% -1.20%
CPI Card Group 4.25% -12.54% 6.28%

Valuation and Earnings

This table compares Cimpress and CPI Card Group’s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Cimpress $2.59 billion 0.51 -$77.71 million ($2.89) -17.48
CPI Card Group $375.12 million 0.35 $15.94 million $1.36 8.46

CPI Card Group has lower revenue, but higher earnings than Cimpress. Cimpress is trading at a lower price-to-earnings ratio than CPI Card Group, indicating that it is currently the more affordable of the two stocks.

Summary

Cimpress beats CPI Card Group on 7 of the 12 factors compared between the two stocks.

Cimpress Company Profile (Get Rating)

Cimpress plc provides various mass customization services in North America, Europe, and internationally. The company operates through five segments: Vistaprint, PrintBrothers, The Print Group, National Pen, and All Other Businesses. It offers printed and digital marketing products; internet-based canvas-print wall décor, business signage, and other printed products; web-to print products, including multi-page brochures, folders, flyers, business cards, signs, leaflets, booklets, posters, letterheads, and banners, as well as customized beverage cans; and printed materials, such as signage, print, advertising materials, corporate-wear, and promotional gifts. The company also provides finishing options on business cards, flyers, brochures, banners, posters, roll-ups, and rigid signage; custom writing instruments, as well as other promotional products comprising travel mugs, water bottles, tech gadgets, and trade show items; and mass customization solutions that support various channels consisting of retail stores, websites, and e-commerce platforms. In addition, it offers website design and hosting, and email marketing services, as well as order referral and other third-party offerings. The company serves graphic designers, resellers, and printers, as well as teams, associations, groups, consumers, and families. Cimpress plc was founded in 1994 and is based in Dundalk, Ireland.

CPI Card Group Company Profile (Get Rating)

CPI Card Group Inc., together with its subsidiaries, engages in the design, production, data personalization, packaging, and fulfillment of financial payment cards. It operates through Debit and Credit, and Prepaid Debit segments. The Debit and Credit segment produces financial payment cards and provides integrated card services to card-issuing banks. Its products include Europay, Mastercard, And Visa (EMV) and non-EMV financial payment cards and metal cards, as well as private label credit cards. This segment also provides on-demand services and various integrated card services, including card personalization and fulfillment, and instant issuance services. The Prepaid Debit segment primarily offers integrated card services comprising tamper-evident security packaging services to prepaid debit card providers. It also produces financial payment cards issued on the networks of the payment card brands. It serves issuers of debit and credit cards, Prepaid Debit Card program managers, community banks, credit unions, group service providers, and card transaction processors in the United States. The company was formerly known as CPI Holdings I, Inc. and changed its name to CPI Card Group Inc. in August 2015. CPI Card Group Inc. was incorporated in 2007 and is based in Littleton, Colorado.

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