Compass Group (CPG) Competitors

Diploma (LON:DPLM) and Compass Group (LON:CPG) are both industrials companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, valuation, institutional ownership, earnings, community ranking, media sentiment, dividends, profitability and analyst recommendations.

Which has more risk & volatility, DPLM or CPG?

Diploma has a beta of 0.75, meaning that its share price is 25% less volatile than the S&P 500. Comparatively, Compass Group has a beta of 0.81, meaning that its share price is 19% less volatile than the S&P 500.

Do analysts prefer DPLM or CPG?

Diploma currently has a consensus price target of GBX 4,567.50, suggesting a potential upside of 3.67%. Compass Group has a consensus price target of GBX 2,675, suggesting a potential upside of 0.00%. Given Diploma's higher possible upside, equities analysts clearly believe Diploma is more favorable than Compass Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Diploma	0 Sell rating(s)	2 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.60
Compass Group	0 Sell rating(s)	1 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.83

Do insiders and institutionals believe in DPLM or CPG?

81.5% of Diploma shares are held by institutional investors. Comparatively, 76.3% of Compass Group shares are held by institutional investors. 0.5% of Diploma shares are held by company insiders. Comparatively, 0.2% of Compass Group shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Is DPLM or CPG a better dividend stock?

Diploma pays an annual dividend of GBX 57 per share and has a dividend yield of 1.3%. Compass Group pays an annual dividend of GBX 44 per share and has a dividend yield of 1.6%. Diploma pays out 6,627.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Compass Group pays out 5,789.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Compass Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Does the media prefer DPLM or CPG?

In the previous week, Diploma had 5 more articles in the media than Compass Group. MarketBeat recorded 7 mentions for Diploma and 2 mentions for Compass Group. Diploma's average media sentiment score of 1.30 beat Compass Group's score of 0.72 indicating that Diploma is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Diploma	1 Very Positive mention(s)	2 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Compass Group	0 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has better valuation and earnings, DPLM or CPG?

Compass Group has higher revenue and earnings than Diploma. Compass Group is trading at a lower price-to-earnings ratio than Diploma, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Diploma	£1.26B	4.69	£116.10M	£0.86	5,123.26
Compass Group	£41.28B	1.10	£1.76B	£0.76	3,519.74

Is DPLM or CPG more profitable?

Diploma has a net margin of 9.25% compared to Compass Group's net margin of 4.26%. Compass Group's return on equity of 26.61% beat Diploma's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Diploma	9.25%	13.39%	8.32%
Compass Group	4.26%	26.61%	7.52%

Does the MarketBeat Community prefer DPLM or CPG?

Compass Group received 274 more outperform votes than Diploma when rated by MarketBeat users. However, 61.71% of users gave Diploma an outperform vote while only 60.11% of users gave Compass Group an outperform vote.

Company	Underperform	Outperform
Diploma	Outperform Votes 282 61.71%	Underperform Votes 175 38.29%
Compass Group	Outperform Votes 556 60.11%	Underperform Votes 369 39.89%

Summary

Diploma beats Compass Group on 11 of the 20 factors compared between the two stocks.