Hydro One (H) Competitors

Restaurant Brands International (TSE:QSR) and Hydro One (TSE:H) are both large-cap consumer cyclical companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, earnings, dividends, media sentiment, analyst recommendations, institutional ownership, profitability and community ranking.

Does the media favor QSR or H?

In the previous week, Restaurant Brands International had 9 more articles in the media than Hydro One. MarketBeat recorded 12 mentions for Restaurant Brands International and 3 mentions for Hydro One. Restaurant Brands International's average media sentiment score of 0.40 beat Hydro One's score of 0.04 indicating that Restaurant Brands International is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Restaurant Brands International	2 Very Positive mention(s)	4 Positive mention(s)	2 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Neutral
Hydro One	0 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Neutral

Do insiders & institutionals have more ownership in QSR or H?

88.6% of Restaurant Brands International shares are held by institutional investors. Comparatively, 22.1% of Hydro One shares are held by institutional investors. 1.2% of Restaurant Brands International shares are held by company insiders. Comparatively, 47.1% of Hydro One shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Do analysts rate QSR or H?

Hydro One has a consensus price target of C$45.43, suggesting a potential downside of 6.81%. Given Hydro One's higher probable upside, analysts plainly believe Hydro One is more favorable than Restaurant Brands International.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Restaurant Brands International	0 Sell rating(s)	1 Hold rating(s)	0 Buy rating(s)	3 Strong Buy rating(s)	3.50
Hydro One	0 Sell rating(s)	5 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00

Which has stronger valuation and earnings, QSR or H?

Hydro One has higher revenue and earnings than Restaurant Brands International. Restaurant Brands International is trading at a lower price-to-earnings ratio than Hydro One, 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
Restaurant Brands International	C$4.96B	4.40	C$793.99M	C$4.99	19.27
Hydro One	C$8.37B	3.49	C$1.14B	C$1.90	25.71

Is QSR or H more profitable?

Restaurant Brands International has a net margin of 16.02% compared to Hydro One's net margin of 13.59%. Restaurant Brands International's return on equity of 41.85% beat Hydro One's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Restaurant Brands International	16.02%	41.85%	5.81%
Hydro One	13.59%	9.58%	3.57%

Is QSR or H a better dividend stock?

Restaurant Brands International pays an annual dividend of C$3.14 per share and has a dividend yield of 3.3%. Hydro One pays an annual dividend of C$1.26 per share and has a dividend yield of 2.6%. Restaurant Brands International pays out 63.0% of its earnings in the form of a dividend. Hydro One pays out 66.4% 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. Restaurant Brands International is clearly the better dividend stock, given its higher yield and lower payout ratio.

Does the MarketBeat Community prefer QSR or H?

Hydro One received 257 more outperform votes than Restaurant Brands International when rated by MarketBeat users. Likewise, 63.91% of users gave Hydro One an outperform vote while only 61.66% of users gave Restaurant Brands International an outperform vote.

Company	Underperform	Outperform
Restaurant Brands International	Outperform Votes 230 61.66%	Underperform Votes 143 38.34%
Hydro One	Outperform Votes 487 63.91%	Underperform Votes 275 36.09%

Which has more risk & volatility, QSR or H?

Restaurant Brands International has a beta of 0.95, indicating that its stock price is 5% less volatile than the S&P 500. Comparatively, Hydro One has a beta of 0.34, indicating that its stock price is 66% less volatile than the S&P 500.

Summary

Restaurant Brands International beats Hydro One on 13 of the 20 factors compared between the two stocks.