Stantec (NYSE:STN) & Franklin Covey (NYSE:FC) Head to Head Comparison

Stantec (NYSE:STN) and Franklin Covey (NYSE:FC) are both business services companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, risk, profitability, earnings, dividends, analyst recommendations and valuation.

Earnings & Valuation

This table compares Stantec and Franklin Covey”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Stantec	$5.47 billion	2.34	$263.82 million	$2.74	40.90
Franklin Covey	$287.23 million	0.78	$23.40 million	$0.79	22.38

Stantec has higher revenue and earnings than Franklin Covey. Franklin Covey is trading at a lower price-to-earnings ratio than Stantec, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Stantec and Franklin Covey’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Stantec	5.62%	19.03%	8.04%
Franklin Covey	3.81%	19.08%	6.12%

Institutional & Insider Ownership

63.9% of Stantec shares are held by institutional investors. Comparatively, 69.9% of Franklin Covey shares are held by institutional investors. 0.5% of Stantec shares are held by insiders. Comparatively, 15.5% of Franklin Covey shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings for Stantec and Franklin Covey, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stantec	0	0	8	0	3.00
Franklin Covey	1	0	2	0	2.33

Franklin Covey has a consensus price target of $27.00, suggesting a potential upside of 52.74%. Given Franklin Covey’s higher possible upside, analysts clearly believe Franklin Covey is more favorable than Stantec.

Risk & Volatility

Stantec has a beta of 1.04, suggesting that its stock price is 4% more volatile than the S&P 500. Comparatively, Franklin Covey has a beta of 0.86, suggesting that its stock price is 14% less volatile than the S&P 500.

Summary

Stantec beats Franklin Covey on 10 of the 14 factors compared between the two stocks.

About Stantec

Stantec Inc. provides professional services in the areas of infrastructure and facilities to the public and private sectors in Canada, the United States, and internationally. It offers evaluation, planning, and designing infrastructure solutions; solutions for sustainable water resources, planning, management, and infrastructure; environmental services; integrated architecture, engineering, interior design, and planning solutions for buildings; and energy and resources solutions. The company also provides consulting services in engineering, architecture, interior design, landscape architecture, surveying, environmental sciences, project management, and project economics. In addition, it offers planning and design services to clients in residential, logistics, retail, infrastructure, energy, higher education, and urban regeneration sectors; architectural and interior design, and planning services in the science and technology, commercial workplace, higher education, residential, and hospitality markets. Further, the company provides transportation advisory, transport engineering, and technical design; project delivery consultancy services for mining, resources, and industrial infrastructure projects; paleontological and archaeological services for the rail, transportation, water, and power and energy sectors; and environmental and cultural resource compliance services. Additionally, it offers consulting services in sustainable building design, energy infrastructure upgrades, sustainable district heating network, and e-mobility; and planning, design, construction administration, commissioning, maintenance, decommissioning, and remediation services. The company was formerly known as Stanley Technology Group Inc. and changed its name to Stantec Inc. in October 1998. Stantec Inc. was founded in 1954 and is headquartered in Edmonton, Canada.

About Franklin Covey

Franklin Covey Co. provides training and consulting services in the areas of execution, sales performance, productivity, customer loyalty, and educational improvement for organizations and individuals worldwide. The company operates through Direct Offices, International Licensees, and Education Practice segments. It also provides a suite of individual-effectiveness and leadership-development training and products. In addition, the company operates Strive platform, a learning deployment platform; Impact platform that helps automate implementation of learning initiatives; All Access Pass, a subscription platform that enables improved deployment of content, services, technology, and metrics to deliver behavioral impact at scale; and Leader in Me, which provides access to digital versions of student leadership guides, leadership lessons, illustrated leadership stories, and other resources. Franklin Covey Co. was incorporated in 1983 and is headquartered in Salt Lake City, Utah.