Cato (CATO) Competitors

Citi Trends (NASDAQ:CTRN) and Cato (NYSE:CATO) are both small-cap retail/wholesale companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, risk, media sentiment, earnings, institutional ownership, community ranking, valuation, dividends and profitability.

Which has higher valuation & earnings, CTRN or CATO?

Citi Trends has higher revenue and earnings than Cato. Citi Trends is trading at a lower price-to-earnings ratio than Cato, 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
Citi Trends	$757.09M	0.29	-$11.98M	-$3.07	-8.22
Cato	$666.78M	0.12	-$23.94M	-$1.38	-2.83

Which has more volatility & risk, CTRN or CATO?

Citi Trends has a beta of 2.36, meaning that its share price is 136% more volatile than the S&P 500. Comparatively, Cato has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500.

Is CTRN or CATO a better dividend stock?

Citi Trends pays an annual dividend of $0.32 per share and has a dividend yield of 1.3%. Cato pays an annual dividend of $0.68 per share and has a dividend yield of 17.4%. Citi Trends pays out -10.4% of its earnings in the form of a dividend. Cato pays out -49.3% 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. Cato is clearly the better dividend stock, given its higher yield and lower payout ratio.

Does the media refer more to CTRN or CATO?

In the previous week, Citi Trends and Citi Trends both had 2 articles in the media. Citi Trends' average media sentiment score of 0.56 beat Cato's score of 0.17 indicating that Citi Trends is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Citi Trends	1 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Cato	1 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Do insiders & institutionals hold more shares of CTRN or CATO?

61.1% of Cato shares are owned by institutional investors. 3.8% of Citi Trends shares are owned by insiders. Comparatively, 16.6% of Cato shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Do analysts prefer CTRN or CATO?

Citi Trends currently has a consensus target price of $27.67, indicating a potential upside of 9.66%. Given Citi Trends' stronger consensus rating and higher probable upside, equities research analysts plainly believe Citi Trends is more favorable than Cato.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Citi Trends	0 Sell rating(s)	1 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.67
Cato	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00

Is CTRN or CATO more profitable?

Citi Trends has a net margin of -3.36% compared to Cato's net margin of -4.11%. Citi Trends' return on equity of -13.96% beat Cato's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Citi Trends	-3.36%	-13.96%	-4.15%
Cato	-4.11%	-14.41%	-5.95%

Does the MarketBeat Community believe in CTRN or CATO?

Citi Trends received 103 more outperform votes than Cato when rated by MarketBeat users. However, 59.52% of users gave Cato an outperform vote while only 54.94% of users gave Citi Trends an outperform vote.

Company	Underperform	Outperform
Citi Trends	Outperform Votes 278 54.94%	Underperform Votes 228 45.06%
Cato	Outperform Votes 175 59.52%	Underperform Votes 119 40.48%

Summary

Citi Trends beats Cato on 12 of the 19 factors compared between the two stocks.