Critical Contrast: Brink’s (NYSE:BCO) vs. Galaxy Payroll Group (NASDAQ:GLXG)

Brink’s (NYSE:BCO) and Galaxy Payroll Group (NASDAQ:GLXG) are both business services companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, analyst recommendations, risk, earnings and dividends.

Profitability

This table compares Brink’s and Galaxy Payroll Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brink’s	3.21%	86.86%	4.62%
Galaxy Payroll Group	N/A	N/A	N/A

Earnings & Valuation

This table compares Brink’s and Galaxy Payroll Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brink’s	$5.07 billion	0.87	$162.90 million	$3.70	28.65
Galaxy Payroll Group	$3.49 million	2.35	-$3.51 million	N/A	N/A

Brink’s has higher revenue and earnings than Galaxy Payroll Group.

Risk & Volatility

Brink’s has a beta of 1.44, suggesting that its stock price is 44% more volatile than the S&P 500. Comparatively, Galaxy Payroll Group has a beta of -2.29, suggesting that its stock price is 329% less volatile than the S&P 500.

Institutional and Insider Ownership

95.0% of Brink’s shares are held by institutional investors. 0.5% of Brink’s shares are held by company 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.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Brink’s and Galaxy Payroll Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brink’s	0	1	2	0	2.67
Galaxy Payroll Group	1	0	0	0	1.00

Brink’s currently has a consensus price target of $138.00, indicating a potential upside of 30.19%. Given Brink’s’ stronger consensus rating and higher probable upside, research analysts clearly believe Brink’s is more favorable than Galaxy Payroll Group.

Summary

Brink’s beats Galaxy Payroll Group on 11 of the 12 factors compared between the two stocks.

About Brink’s

The Brink’s Co. engages in providing cash management services, digital retail solutions, and ATM managed services. It operates through the following geographical segments: North America, Latin America, Europe, and Rest of World. The North America segment operates in the U.S. and Canada. The Latin America segment refers to the operations in Latin American countries. The Europe segment relates to operations in European countries. The Rest of World segment focuses on the operations in the Middle East, Africa, and Asia. The company was founded by Perry Brink and Fidelia Brink on May 5, 1859 and is headquartered in Richmond, VA.

About Galaxy Payroll Group

Galaxy Payroll Group Limited, through its subsidiaries, provides payroll outsourcing, employment, and consultancy and market research services. It has operations in Hong Kong, Macau, the People’s Republic of China, Taiwan, Japan, Australia, Thailand, Malaysia, Vietnam, India, Indonesia, and the Philippines. The company was founded in 2013 and is based in Sheung Wan, Hong Kong.