Financial Analysis: Ceconomy (MTTRY) and Its Peers

Ceconomy (OTCMKTS:MTTRY) is one of 46 publicly-traded companies in the “CONSM PD – MISC DIS” industry, but how does it contrast to its peers? We will compare Ceconomy to similar companies based on the strength of its valuation, profitability, institutional ownership, dividends, analyst recommendations, earnings and risk.

Insider and Institutional Ownership

40.3% of shares of all “CONSM PD – MISC DIS” companies are owned by institutional investors. 22.2% of shares of all “CONSM PD – MISC DIS” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Ceconomy and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ceconomy	0	0	0	1	4.00
Ceconomy Competitors	118	916	999	29	2.46

As a group, “CONSM PD – MISC DIS” companies have a potential upside of 21.64%. Given Ceconomy’s peers higher probable upside, analysts clearly believe Ceconomy has less favorable growth aspects than its peers.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Ceconomy	0.54%	31.28%	1.60%
Ceconomy Competitors	0.03%	1.25%	0.50%

Earnings & Valuation

This table compares Ceconomy and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Ceconomy	$24.34 billion	$82.44 million	16.51
Ceconomy Competitors	$2.74 billion	$103.51 million	3.69

Ceconomy has higher revenue, but lower earnings than its peers. Ceconomy is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Volatility & Risk

Ceconomy has a beta of 1.41, suggesting that its stock price is 41% more volatile than the S&P 500. Comparatively, Ceconomy’s peers have a beta of -0.52, suggesting that their average stock price is 152% less volatile than the S&P 500.

Summary

Ceconomy beats its peers on 8 of the 13 factors compared.

Ceconomy Company Profile

Ceconomy AG, together with its subsidiaries, engages in the consumer electronics retail business. It operates stores under the MediaMarkt and Saturn brands. The company offers professional assistance for the installation, connection, and troubleshooting of electronic devices at home under the Deutsche Technikberatung brand. It operates in Germany, Austria, Switzerland, and Hungary, as well as in Western, Southern, and Eastern Europe. Ceconomy AG is based in Düsseldorf, Germany.