Critical Analysis: Compass Group (OTCMKTS:CMPGY) vs. SSP Group (OTCMKTS:SSPPF)

Compass Group (OTCMKTS:CMPGY) and SSP Group (OTCMKTS:SSPPF) are both retail/wholesale companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, profitability, analyst recommendations, dividends, risk, valuation and institutional ownership.

Profitability

This table compares Compass Group and SSP Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Compass Group	N/A	N/A	N/A
SSP Group	N/A	N/A	N/A

Earnings and Valuation

This table compares Compass Group and SSP Group”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Compass Group	$46.07 billion	1.01	$1.87 billion	N/A	N/A
SSP Group	$4.75 billion	0.42	-$97.17 million	N/A	N/A

Compass Group has higher revenue and earnings than SSP Group.

Risk and Volatility

Compass Group has a beta of 0.7, meaning that its stock price is 30% less volatile than the S&P 500. Comparatively, SSP Group has a beta of 0.46, meaning that its stock price is 54% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and target prices for Compass Group and SSP Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Compass Group	0	0	2	2	3.50
SSP Group	0	1	2	0	2.67

Insider & Institutional Ownership

0.0% of Compass Group shares are owned by institutional investors. 0.0% of Compass Group shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Compass Group beats SSP Group on 8 of the 8 factors compared between the two stocks.

About Compass Group

Compass Group PLC operates as a food and support services company in North America, Europe, and internationally. The company offers support services, such as cleaning in hospitals; reception services at corporate headquarters; managing remote camps; grounds and facilities services at schools and universities; and others. It serves business and industry; healthcare and senior living market; education; sports and leisure; and defense, offshore, and remote sectors. Compass Group PLC was founded in 1941 and is based in Chertsey, the United Kingdom.

About SSP Group

SSP Group plc operates food and beverage outlets in North America, Europe, the United Kingdom, Ireland, the Asia Pacific, Eastern Europe, the Middle East, and internationally. The company operates outlets at airports, railway stations, motorway service areas, hospitals, and shopping centers. It also operates sandwich shops, cafes, bars, and restaurants. SSP Group plc was founded in 1961 and is headquartered in London, the United Kingdom.