Papa John’s International (NASDAQ:PZZA) and Compass Group (OTCMKTS:CMPGY) Head to Head Contrast

Papa John’s International (NASDAQ:PZZA – Get Free Report) and Compass Group (OTCMKTS:CMPGY – Get Free Report) are both retail/wholesale companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, profitability, valuation, risk, earnings and dividends.

Dividends

Papa John’s International pays an annual dividend of $1.84 per share and has a dividend yield of 4.9%. Compass Group pays an annual dividend of $0.83 per share and has a dividend yield of 2.9%. Papa John’s International pays out 206.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Papa John’s International has increased its dividend for 4 consecutive years. Papa John’s International is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Volatility & Risk

Papa John’s International has a beta of 1.18, suggesting that its share price is 18% more volatile than the S&P 500. Comparatively, Compass Group has a beta of 0.7, suggesting that its share price is 30% less volatile than the S&P 500.

Profitability

This table compares Papa John’s International and Compass Group’s net margins, return on equity and return on assets.

Valuation & Earnings

This table compares Papa John’s International and Compass Group”s top-line revenue, earnings per share (EPS) and valuation.

Compass Group has higher revenue and earnings than Papa John’s International.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Papa John’s International and Compass Group, as reported by MarketBeat.com.

Papa John’s International presently has a consensus target price of $45.00, indicating a potential upside of 20.13%. Given Papa John’s International’s higher possible upside, equities analysts clearly believe Papa John’s International is more favorable than Compass Group.

Institutional and Insider Ownership

0.0% of Compass Group shares are held by institutional investors. 1.8% of Papa John’s International shares are held by company insiders. Comparatively, 0.0% of Compass Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

About Papa John’s International

(Get Free Report)

Papa John’s International, Inc. engages in the operation and franchise of pizza delivery and carryout restaurants. It operates through the following segments: Domestic Company-owned Restaurants, North America Franchising, North America Commissaries, International Operations, and All Others. The Domestic Company-Owned Restaurants segment consists of retail sales of pizza and side items, breadsticks, cheese sticks, chicken poppers and wings, dessert items, and canned and bottled beverages. The North America Franchising segment involves the offering of sales and support activities, development rights, and collection of royalties from franchisees located in the United States and Canada. The North America Commissaries segment includes the eleven full-service regional dough production and distribution and quality control centers. The International Operations segment represents all restaurant operations outside of the United States and Canada. The All Others segment focuses on franchise contributions to marketing funds and sale, company-owned and franchised restaurants, information systems and related services used in restaurant operations, point-of-sale system, online and other technology-based ordering platforms, printing, and promotional items. The company was founded by John H. Schnatter in 1984 and is headquartered in Louisville, KY.

About Compass Group

(Get Free Report)

Compass Group PLC operates as a food and support services company in North America, Europe, and internationally. The company offers support services, such as cleaning in hospitals; reception services at corporate headquarters; managing remote camps; grounds and facilities services at schools and universities; and others. It serves business and industry; healthcare and senior living market; education; sports and leisure; and defense, offshore, and remote sectors. Compass Group PLC was founded in 1941 and is based in Chertsey, the United Kingdom.