Grafton Group (GFTU) Competitors

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

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 13.18% beat Grafton Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Diploma	9.25%	13.18%	8.32%
Grafton Group	5.79%	8.08%	3.60%

Does the MarketBeat Community favor DPLM or GFTU?

Grafton Group received 67 more outperform votes than Diploma when rated by MarketBeat users. However, 61.71% of users gave Diploma an outperform vote while only 57.59% 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 349 57.59%	Underperform Votes 257 42.41%

Which has more risk and volatility, DPLM or GFTU?

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

Is DPLM or GFTU a better dividend stock?

Diploma pays an annual dividend of GBX 57 per share and has a dividend yield of 1.5%. Grafton Group pays an annual dividend of GBX 37 per share and has a dividend yield of 4.1%. Diploma pays out 65.5% of its earnings in the form of a dividend. Grafton Group pays out 56.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Grafton Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Do analysts rate DPLM or GFTU?

Diploma currently has a consensus target price of GBX 4,567.50, suggesting a potential upside of 19.44%. Grafton Group has a consensus target price of GBX 1,120, suggesting a potential upside of 23.40%. Given Grafton Group's stronger consensus rating and higher possible upside, analysts clearly 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)	2 Buy rating(s)	0 Strong Buy rating(s)	3.00

Which has higher valuation and earnings, 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	£1.25B	4.09	£115.40M	£87.00	43.96
Grafton Group	£2.21B	0.81	£127.90M	£65.21	13.92

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

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

Does the media refer more to DPLM or GFTU?

In the previous week, Grafton Group had 9 more articles in the media than Diploma. MarketBeat recorded 10 mentions for Grafton Group and 1 mentions for Diploma. Grafton Group's average media sentiment score of 1.32 beat Diploma's score of 0.00 indicating that Grafton Group is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Diploma	0 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Grafton Group	6 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Summary

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