Serco Group (SRP) Competitors

Mitie Group (LON:MTO) and Serco Group (LON:SRP) are both small-cap industrials companies, but which is the better investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, community ranking, dividends, valuation, profitability, earnings, institutional ownership and media sentiment.

Does the MarketBeat Community prefer MTO or SRP?

Serco Group received 60 more outperform votes than Mitie Group when rated by MarketBeat users. However, 51.40% of users gave Mitie Group an outperform vote while only 48.53% of users gave Serco Group an outperform vote.

Company	Underperform	Outperform
Mitie Group	Outperform Votes 385 51.40%	Underperform Votes 364 48.60%
Serco Group	Outperform Votes 445 48.53%	Underperform Votes 472 51.47%

Is MTO or SRP more profitable?

Serco Group has a net margin of 2.87% compared to Mitie Group's net margin of 2.52%. Mitie Group's return on equity of 28.24% beat Serco Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Mitie Group	2.52%	28.24%	5.94%
Serco Group	2.87%	13.70%	4.45%

Is MTO or SRP a better dividend stock?

Mitie Group pays an annual dividend of GBX 4 per share and has a dividend yield of 3.5%. Serco Group pays an annual dividend of GBX 4 per share and has a dividend yield of 2.6%. Mitie Group pays out 41.6% of its earnings in the form of a dividend. Serco Group pays out 31.2% 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.

Which has more volatility and risk, MTO or SRP?

Mitie Group has a beta of 1.41, indicating that its stock price is 41% more volatile than the S&P 500. Comparatively, Serco Group has a beta of 0.38, indicating that its stock price is 62% less volatile than the S&P 500.

Does the media favor MTO or SRP?

In the previous week, Mitie Group had 2 more articles in the media than Serco Group. MarketBeat recorded 2 mentions for Mitie Group and 0 mentions for Serco Group. Mitie Group's average media sentiment score of 1.30 beat Serco Group's score of 0.00 indicating that Mitie Group is being referred to more favorably in the media.

Company	Overall Sentiment
Mitie Group	Positive
Serco Group	Neutral

Do institutionals and insiders believe in MTO or SRP?

78.0% of Mitie Group shares are held by institutional investors. Comparatively, 74.7% of Serco Group shares are held by institutional investors. 5.7% of Mitie Group shares are held by company insiders. Comparatively, 1.7% of Serco Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Do analysts prefer MTO or SRP?

Mitie Group currently has a consensus price target of GBX 152.50, suggesting a potential upside of 31.69%. Serco Group has a consensus price target of GBX 205, suggesting a potential upside of 30.82%. Given Mitie Group's stronger consensus rating and higher possible upside, research analysts plainly believe Mitie Group is more favorable than Serco Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mitie Group	0 Sell rating(s)	0 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	3.00
Serco Group	0 Sell rating(s)	2 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.33

Which has higher earnings and valuation, MTO or SRP?

Serco Group has lower revenue, but higher earnings than Mitie Group. Mitie Group is trading at a lower price-to-earnings ratio than Serco Group, 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
Mitie Group	£4.80B	0.30	£120.92M	£9.62	12.04
Serco Group	£4.54B	0.35	£130.15M	£12.84	12.21

Summary

Mitie Group beats Serco Group on 13 of the 20 factors compared between the two stocks.