Hilton Worldwide (NYSE:HLT) versus MTY Food Group (OTCMKTS:MTYFF) Financial Comparison

by · The Cerbat Gem

Hilton Worldwide (NYSE:HLTGet Free Report) and MTY Food Group (OTCMKTS:MTYFFGet Free Report) are both consumer discretionary companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, institutional ownership, risk, dividends, earnings, profitability and analyst recommendations.

Profitability

This table compares Hilton Worldwide and MTY Food Group’s net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Hilton Worldwide12.69%-35.24%11.84%
MTY Food GroupN/AN/AN/A

Valuation & Earnings

This table compares Hilton Worldwide and MTY Food Group”s gross revenue, earnings per share (EPS) and valuation.

Gross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Hilton Worldwide$12.04 billion5.81$1.46 billion$6.8145.67
MTY Food GroupN/AN/AN/A$1.4117.80

Hilton Worldwide has higher revenue and earnings than MTY Food Group. MTY Food Group is trading at a lower price-to-earnings ratio than Hilton Worldwide, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent recommendations for Hilton Worldwide and MTY Food Group, as reported by MarketBeat.com.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Hilton Worldwide081402.64
MTY Food Group03002.00

Hilton Worldwide presently has a consensus price target of $353.05, indicating a potential upside of 13.50%. Given Hilton Worldwide’s stronger consensus rating and higher possible upside, equities analysts clearly believe Hilton Worldwide is more favorable than MTY Food Group.

Dividends

Hilton Worldwide pays an annual dividend of $0.60 per share and has a dividend yield of 0.2%. MTY Food Group pays an annual dividend of $0.33 per share and has a dividend yield of 1.3%. Hilton Worldwide pays out 8.8% of its earnings in the form of a dividend. MTY Food Group pays out 23.0% 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.

Institutional and Insider Ownership

95.9% of Hilton Worldwide shares are owned by institutional investors. Comparatively, 25.1% of MTY Food Group shares are owned by institutional investors. 2.7% of Hilton Worldwide 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.

Summary

Hilton Worldwide beats MTY Food Group on 11 of the 13 factors compared between the two stocks.

About Hilton Worldwide

(Get Free Report)

Hilton Worldwide Holdings Inc., a hospitality company, engages in managing, franchising, owning, and leasing hotels and resorts. It operates through two segments, Management and Franchise, and Ownership. The company engages in the hotel management and licensing of its brands. It operates luxury hotels under the Waldorf Astoria Hotels & Resorts, LXR Hotels & Resorts, and Conrad Hotels & Resorts brand; lifestyle hotels under the Canopy by Hilton, Curio Collection by Hilton, Tapestry Collection by Hilton, Tempo by Hilton, and Motto by Hilton brand; full service hotels under the Signia by Hilton, Hilton Hotels & Resorts, and DoubleTree by Hilton brand; service hotels under the Hilton Garden Inn, Hampton by Hilton, and Tru by Hilton brand; all-suite hotels under the Embassy Suites by Hilton, Homewood Suites by Hilton, and Home2 Suites by Hilton brand; and economy hotel under the Spark by Hilton brand, as well as Hilton Grand Vacations. The company operates in North America, South America, and Central America, including various Caribbean nations; Europe, the Middle East, and Africa; and the Asia Pacific. The company was founded in 1919 and is headquartered in McLean, Virginia.

About MTY Food Group

(Get Free Report)

MTY Food Group Inc. operates and franchises quick-service, fast-casual, and casual dining restaurants in Canada, the United States, and internationally. It also sells retail products under a multitude of banners. The company was formerly known as iNsu Innovations Group Inc. and changed its name to MTY Food Group Inc. in July 2003. MTY Food Group Inc. was founded in 1979 and is headquartered in Saint-Laurent, Canada.