Grafton Group (GFTU) Competitors

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

Is DPLM or GFTU a better dividend stock?

Diploma pays an annual dividend of GBX 57 per share and has a dividend yield of 1.3%. Grafton Group pays an annual dividend of GBX 37 per share and has a dividend yield of 4.1%. 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. Grafton Group pays out 4,457.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Grafton Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Which has more risk and volatility, DPLM or GFTU?

Diploma has a beta of 0.75, meaning that its share price is 25% less volatile than the S&P 500. Comparatively, Grafton Group has a beta of 1.6, meaning that its share price is 60% more volatile than the S&P 500.

Does the media refer more to DPLM or GFTU?

In the previous week, Diploma had 7 more articles in the media than Grafton Group. MarketBeat recorded 9 mentions for Diploma and 2 mentions for Grafton Group. Diploma's average media sentiment score of 0.80 beat Grafton Group's score of 0.02 indicating that Diploma is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Diploma	2 Very Positive mention(s)	1 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Grafton Group	0 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Does the MarketBeat Community favor DPLM or GFTU?

Grafton Group received 66 more outperform votes than Diploma when rated by MarketBeat users. However, 61.71% of users gave Diploma an outperform vote while only 57.52% of users gave Grafton Group an outperform vote.

Company	Underperform	Outperform
Diploma	Outperform Votes 282 61.71%	Underperform Votes 175 38.29%
Grafton Group	Outperform Votes 348 57.52%	Underperform Votes 257 42.48%

Do insiders & institutionals have more ownership in DPLM or GFTU?

81.5% of Diploma shares are held by institutional investors. Comparatively, 58.3% of Grafton Group shares are held by institutional investors. 0.5% of Diploma shares are held by insiders. Comparatively, 11.5% of Grafton Group shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Is DPLM or GFTU more profitable?

Diploma has a net margin of 9.25% compared to Grafton Group's net margin of 5.79%. Diploma's return on equity of 13.39% beat Grafton Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Diploma	9.25%	13.39%	8.32%
Grafton Group	5.79%	8.03%	3.60%

Do analysts rate DPLM or GFTU?

Diploma currently has a consensus target price of GBX 4,567.50, suggesting a potential upside of 3.20%. Grafton Group has a consensus target price of GBX 1,180, suggesting a potential upside of 29.93%. Given Grafton Group's stronger consensus rating and higher possible upside, analysts plainly believe Grafton Group is more favorable than Diploma.

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
Grafton Group	0 Sell rating(s)	0 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	3.00

Which has stronger earnings & valuation, DPLM or GFTU?

Grafton Group has higher revenue and earnings than Diploma. Grafton 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	4.71	£116.10M	£0.86	5,146.51
Grafton Group	£2.27B	0.80	£131.28M	£0.83	1,094.22

Summary

Diploma beats Grafton Group on 10 of the 19 factors compared between the two stocks.