ONE Group Hospitality (NASDAQ:STKS – Get Free Report) and United Parks & Resorts (NYSE:PRKS – Get Free Report) are both small-cap consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, profitability, risk, valuation, earnings, institutional ownership and dividends.
Institutional & Insider Ownership
29.1% of ONE Group Hospitality shares are owned by institutional investors. 25.7% of ONE Group Hospitality shares are owned by insiders. Comparatively, 1.7% of United Parks & Resorts shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Earnings & Valuation
This table compares ONE Group Hospitality and United Parks & Resorts”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| ONE Group Hospitality | $805.72 million | 0.06 | -$92.24 million | ($3.80) | -0.43 |
| United Parks & Resorts | $1.66 billion | 0.92 | $168.35 million | $2.54 | 13.22 |
United Parks & Resorts has higher revenue and earnings than ONE Group Hospitality. ONE Group Hospitality is trading at a lower price-to-earnings ratio than United Parks & Resorts, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares ONE Group Hospitality and United Parks & Resorts’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| ONE Group Hospitality | -10.25% | -10.49% | -0.62% |
| United Parks & Resorts | 8.11% | -27.85% | 5.04% |
Analyst Recommendations
This is a summary of current ratings and recommmendations for ONE Group Hospitality and United Parks & Resorts, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| ONE Group Hospitality | 2 | 1 | 1 | 0 | 1.75 |
| United Parks & Resorts | 1 | 9 | 4 | 0 | 2.21 |
ONE Group Hospitality presently has a consensus price target of $4.00, suggesting a potential upside of 143.90%. United Parks & Resorts has a consensus price target of $46.90, suggesting a potential upside of 39.69%. Given ONE Group Hospitality’s higher possible upside, equities research analysts clearly believe ONE Group Hospitality is more favorable than United Parks & Resorts.
Risk & Volatility
ONE Group Hospitality has a beta of 1.32, suggesting that its share price is 32% more volatile than the S&P 500. Comparatively, United Parks & Resorts has a beta of 1.14, suggesting that its share price is 14% more volatile than the S&P 500.
Summary
United Parks & Resorts beats ONE Group Hospitality on 9 of the 14 factors compared between the two stocks.
About ONE Group Hospitality
The ONE Group Hospitality, Inc., a restaurant company, develops, owns, operates, manages, and licenses restaurants and lounges worldwide. It operates through STK, Kona Grill, and ONE Hospitality segments. The company also provides turn-key food and beverage services for hospitality venues, including hotels, casinos, and other locations. Its hospitality food and beverage solutions include developing, managing, and operating restaurants, bars, rooftops, pools, banqueting, catering, private dining rooms, room service, and mini bars; and offers hospitality advisory and consulting services. The company operates restaurants primarily under the STK and Kona Grill brands. The ONE Group Hospitality, Inc. was founded in 2004 and is based in Denver, Colorado.
About United Parks & Resorts
United Parks & Resorts, Inc. is a holding company, which engages in the ownership and operation of theme parks. Its portfolio includes SeaWorld, Busch Gardens, Aquatica, Discovery Cove, Sesame Place, and Sea Rescue. The company was founded in 1959 and is headquartered in Orlando, FL.
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