Groupon (NASDAQ:GRPN) versus Montague International (OTCMKTS:MIHL) Financial Comparison

Groupon (NASDAQ:GRPN) and Montague International (OTCMKTS:MIHL) are both retail/wholesale companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, analyst recommendations, valuation, risk, dividends and institutional ownership.

Institutional & Insider Ownership

90.1% of Groupon shares are owned by institutional investors. 35.7% of Groupon shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Groupon and Montague International, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Groupon	2	1	2	0	2.00
Montague International	0	0	0	0	0.00

Groupon currently has a consensus target price of $33.67, indicating a potential upside of 125.04%. Given Groupon’s stronger consensus rating and higher probable upside, analysts clearly believe Groupon is more favorable than Montague International.

Profitability

This table compares Groupon and Montague International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Groupon	-16.76%	-717.37%	-13.09%
Montague International	N/A	N/A	N/A

Earnings & Valuation

This table compares Groupon and Montague International”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Groupon	$498.42 million	1.16	-$83.52 million	($2.12)	-7.06
Montague International	N/A	N/A	N/A	N/A	N/A

Montague International has lower revenue, but higher earnings than Groupon.

Risk & Volatility

Groupon has a beta of -0.04, meaning that its share price is 104% less volatile than the S&P 500. Comparatively, Montague International has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500.

Summary

Groupon beats Montague International on 6 of the 10 factors compared between the two stocks.

About Groupon

Groupon, Inc., together with its subsidiaries, operates a marketplace that connects consumers to merchants. It operates in two segments, North America and International. The company sells goods or services on behalf of third-party merchants. It serves customers through its mobile applications and websites. The company was formerly known as ThePoint.com, Inc. and changed its name to Groupon, Inc. in October 2008. Groupon, Inc. was incorporated in 2008 and is headquartered in Chicago, Illinois.

About Montague International

Montague International Holding Ltd., through its subsidiaries, engages in the businesses of financial services, energy, mining, entertainment, healthcare, consumer, industrial trade, and business development in the European Union, the Russian Federation, Latin America, and the United States. It offers investment advisory services and other investment solutions to corporate clients and high net worth individuals. The company also provides securities brokerage/dealership services; owns and operates a gold mining project; and designs, manufactures, and installs modular oil refining plants. In addition, it engages in real estate development business, as well as owns and operates entertainment centers, such as clubs. Montague International Holding Ltd. was formerly known as High Tech Crime Solutions Inc. and changed its name to Montague International Holding Ltd. in July 2012. The company was incorporated in 2009 and is based in Philadelphia, Pennsylvania. Montague International Holding Ltd. is a former subsidiary of LIGATT Security International, Inc.