Comparing Gannett (NYSE:GCI) & Mastermind (OTCMKTS:MMND)

Mastermind (OTCMKTS:MMND) and Gannett (NYSE:GCI) are both small-cap business services companies, but which is the better stock? We will contrast the two companies based on the strength of their dividends, valuation, risk, institutional ownership, analyst recommendations, earnings and profitability.

Earnings and Valuation

This table compares Mastermind and Gannett”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mastermind	$4.71 million	0.00	-$345,100.00	($0.01)	-0.03
Gannett	$2.51 billion	0.27	-$26.35 million	$0.21	21.67

Mastermind has higher earnings, but lower revenue than Gannett. Mastermind is trading at a lower price-to-earnings ratio than Gannett, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings for Mastermind and Gannett, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mastermind	0	0	0	0	0.00
Gannett	1	1	1	0	2.00

Gannett has a consensus price target of $5.55, suggesting a potential upside of 21.98%. Given Gannett’s stronger consensus rating and higher possible upside, analysts clearly believe Gannett is more favorable than Mastermind.

Profitability

This table compares Mastermind and Gannett’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mastermind	N/A	N/A	N/A
Gannett	4.11%	42.98%	3.97%

Institutional and Insider Ownership

76.7% of Gannett shares are owned by institutional investors. 4.2% of Gannett shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Volatility & Risk

Mastermind has a beta of -0.32, indicating that its share price is 132% less volatile than the S&P 500. Comparatively, Gannett has a beta of 2.55, indicating that its share price is 155% more volatile than the S&P 500.

Summary

Gannett beats Mastermind on 13 of the 14 factors compared between the two stocks.

About Mastermind

Mastermind, Inc., an involvement marketing service agency, designs, creates, and develops branding and marketing campaigns for corporate clients. Its programs cover various forms, such as creating and managing digital content, designing campaign Websites/landing pages, social media and viral campaigns, mobile marketing initiatives, and brand communications. The company customers comprise of sports and entertainment, oil and gas, automotive, retail, restaurant, B2B, financial services, hotel and hospitality, consumer packaged goods, healthcare and pharmaceuticals, technology, and agricultural chemicals. Mastermind, Inc. was founded in 2012 and is based in Atlanta, Georgia. Mastermind, Inc. is a subsidiary of Mastermind Marketing, Inc.

About Gannett

Gannett Co., Inc. operates as a media and marketing solutions company in the United States. It operates through three segments: Domestic Gannett Media, Newsquest, and Digital Marketing Solutions. The company's print offerings includes home delivery on a subscription basis; single copy; non-daily publications, such as shoppers and niche publications. It also provides digital-only subscription, including local media brands, USA TODAY NETWORK community events platform, magazines, sports, and games; and E-newspapers; and digital advertising and marketing services. In addition, the company offers digital news and media brands; daily and weekly newspapers; digital marketing solutions, such as online presence solutions, online advertising products, conversion software, and cloud-based software solutions; commercial printing and distribution services; and prints commercial materials, including flyers, business cards, and invitations. The company was formerly known as New Media Investment Group Inc. and changed its name to Gannett Co., Inc. in November 2019. Gannett Co., Inc. was incorporated in 2013 and is headquartered in McLean, Virginia.