Head to Head Analysis: Manchester United (MANU) versus Its Competitors

Manchester United (NYSE:MANUGet Rating) is one of 34 publicly-traded companies in the “Amusement & recreation services” industry, but how does it contrast to its rivals? We will compare Manchester United to related businesses based on the strength of its analyst recommendations, dividends, institutional ownership, earnings, profitability, valuation and risk.

Dividends

Manchester United pays an annual dividend of $0.18 per share and has a dividend yield of 1.4%. Manchester United pays out -14.9% of its earnings in the form of a dividend. As a group, “Amusement & recreation services” companies pay a dividend yield of 1.9% and pay out -573.3% of their earnings in the form of a dividend. Manchester United lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Institutional and Insider Ownership

34.0% of shares of all “Amusement & recreation services” companies are owned by institutional investors. 29.4% of shares of all “Amusement & recreation services” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Manchester United and its rivals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Manchester United -27.65% -21.56% -4.63%
Manchester United Competitors -2,733.84% -2.38% -207.36%

Valuation and Earnings

This table compares Manchester United and its rivals revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Manchester United $665.67 million -$124.11 million -10.79
Manchester United Competitors $914.79 million -$75.39 million 63.43

Manchester United’s rivals have higher revenue and earnings than Manchester United. Manchester United is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a summary of recent ratings and price targets for Manchester United and its rivals, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Manchester United 0 0 1 0 3.00
Manchester United Competitors 73 270 379 10 2.45

Manchester United currently has a consensus target price of $18.00, suggesting a potential upside of 37.51%. As a group, “Amusement & recreation services” companies have a potential upside of 67.59%. Given Manchester United’s rivals higher possible upside, analysts clearly believe Manchester United has less favorable growth aspects than its rivals.

Volatility & Risk

Manchester United has a beta of 0.71, suggesting that its stock price is 29% less volatile than the S&P 500. Comparatively, Manchester United’s rivals have a beta of -0.49, suggesting that their average stock price is 149% less volatile than the S&P 500.

Summary

Manchester United rivals beat Manchester United on 10 of the 15 factors compared.

Manchester United Company Profile (Get Rating)

Manchester United plc, together with its subsidiaries, owns and operates a professional sports team in the United Kingdom. The company operates Manchester United Football Club, a professional football club. It develops marketing and sponsorship relationships with international and regional companies to leverage its brand. The company also markets and sells sports apparel, training and leisure wear, and other clothing featuring the Manchester United brand; and sells other licensed products, such as coffee mugs and bed spreads featuring the Manchester United brand and trademarks, as well as distributes these products through Manchester United branded retail centers and e-commerce platforms, and through the company's partners' wholesale distribution channels. In addition, it distributes live football content directly, as well as through commercial partners; broadcasts television rights relating to the Premier League, Union of European Football Associations club competitions, and other competitions; and delivers Manchester United programming through MUTV television channel to territories worldwide. Further, the company offers a direct to consumer subscription mobile application; and operates Old Trafford, a sports venue with 74,239 seats, as well as invests in properties. Manchester United plc was founded in 1878 and is based in Manchester, the United Kingdom.

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