Head to Head Analysis: Secom (SOMLY) versus Its Rivals

Risk and Volatility

Secom has a beta of 0.41, meaning that its stock price is 59% less volatile than the S&P 500. Comparatively, Secom’s competitors have a beta of 4.22, meaning that their average stock price is 322% more volatile than the S&P 500.

Dividends

Secom pays an annual dividend of $0.11 per share and has a dividend yield of 1.3%. Secom pays out 26.2% of its earnings in the form of a dividend. As a group, “BUSINESS SVCS” companies pay a dividend yield of 1.6% and pay out 52.6% of their earnings in the form of a dividend.

Valuation and Earnings

This table compares Secom and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Secom	$7.88 billion	$713.52 million	20.19
Secom Competitors	$4.58 billion	$168.23 million	39.70

Secom has higher revenue and earnings than its competitors. Secom is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Secom and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Secom	N/A	N/A	N/A
Secom Competitors	2.26%	-161.10%	1.63%

Insider and Institutional Ownership

63.3% of shares of all “BUSINESS SVCS” companies are held by institutional investors. 14.9% of shares of all “BUSINESS SVCS” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

Secom competitors beat Secom on 7 of the 11 factors compared.

Secom Company Profile

SECOM CO., LTD., together with its subsidiaries, provides security services in Japan and internationally. The company operates through Security Services, Fire Protection Services, Medical Services, Insurance Services, Geospatial Information Services, BPO and ICT Services, and Other Services. The Security Services segment offers static guard, armored car, merchandise, and other services, as well as online security systems. The Fire Protection Services segment provides fire alarm systems, fire extinguishing systems, and maintenance services to office buildings, production facilities, tunnels, cultural properties, ships, and residences. The Medical Services segment offers home nursing, pharmaceutical dispensing, home delivery services, health and preventative care services, and personal and outpatient care services; and cloud-based medical reporting services and SECOM LINKus application. This segment also operates the general hospital and residences for seniors; and sells medical equipment and pharmaceuticals. The Insurance Services Segment provides fire insurance, automobile insurance, and cancer treatment insurance services. The Geospatial Information Services segment offers geospatial information services to public-sector entities, such as national and local governments; private sector customers; and overseas government agencies. The BPO and ICT Services segment provides contact centers and back office support services, data center, disaster preparedness, information security, and cloud-based services, as well as SaaS solutions. The Other Services segment offers real estate leasing, construction, and installation services. The company was incorporated in 1962 and is headquartered in Tokyo, Japan.