Reviewing Reading International (RDI) and Its Competitors

Reading International (NASDAQ:RDI) is one of 52 publicly-traded companies in the “LEISURE&REC SVS” industry, but how does it weigh in compared to its peers? We will compare Reading International to related companies based on the strength of its risk, valuation, dividends, earnings, profitability, analyst recommendations and institutional ownership.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Reading International and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Reading International	0	1	0	0	2.00
Reading International Competitors	529	1565	3002	49	2.50

Reading International presently has a consensus target price of $2.40, indicating a potential upside of 81.82%. As a group, “LEISURE&REC SVS” companies have a potential upside of 17.31%. Given Reading International’s higher probable upside, equities analysts clearly believe Reading International is more favorable than its peers.

Valuation and Earnings

This table compares Reading International and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Reading International	$210.53 million	-$35.30 million	-1.27
Reading International Competitors	$3.98 billion	$328.73 million	32.75

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

Profitability

This table compares Reading International and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Reading International	-11.28%	-632.66%	-4.88%
Reading International Competitors	-88.12%	-67.30%	-9.20%

Volatility and Risk

Reading International has a beta of 1.39, meaning that its stock price is 39% more volatile than the S&P 500. Comparatively, Reading International’s peers have a beta of 0.60, meaning that their average stock price is 40% less volatile than the S&P 500.

Insider & Institutional Ownership

44.7% of Reading International shares are owned by institutional investors. Comparatively, 57.2% of shares of all “LEISURE&REC SVS” companies are owned by institutional investors. 25.7% of Reading International shares are owned by insiders. Comparatively, 21.4% of shares of all “LEISURE&REC SVS” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Reading International peers beat Reading International on 8 of the 13 factors compared.

Reading International Company Profile

Reading International, Inc., together with its subsidiaries, focuses on the ownership, development, and operation of entertainment and real property assets in the United States, Australia, and New Zealand. The company operates in two segments, Cinema Exhibition and Real Estate. The Cinema Exhibition segment operates multiplex cinemas. This segment operates its cinema exhibition businesses under the Reading Cinemas, Consolidated Theatres, Angelika Film Center, State Cinema by Angelika, Angelika Anywhere, Event Cinemas, and Rialto Cinemas brands. The Real Estate segment develops, rents, or licenses retail, commercial, and live theater assets. Reading International, Inc. was incorporated in 1999 and is headquartered in New York, New York.