Contrasting DKSH (OTCMKTS:DKSHF) and Recruit (OTCMKTS:RCRRF)

Recruit (OTCMKTS:RCRRF) and DKSH (OTCMKTS:DKSHF) are both industrials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their profitability, institutional ownership, valuation, earnings, dividends, risk and analyst recommendations.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Recruit and DKSH, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Recruit	0	0	0	0	0.00
DKSH	0	0	1	0	3.00

Insider & Institutional Ownership

13.4% of DKSH shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Recruit and DKSH’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Recruit	10.33%	19.40%	12.59%
DKSH	N/A	N/A	N/A

Earnings and Valuation

This table compares Recruit and DKSH”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Recruit	$23.67 billion	6.82	$2.44 billion	$1.54	65.09
DKSH	N/A	N/A	N/A	$154.08	0.50

Recruit has higher revenue and earnings than DKSH. DKSH is trading at a lower price-to-earnings ratio than Recruit, indicating that it is currently the more affordable of the two stocks.

Summary

Recruit beats DKSH on 5 of the 9 factors compared between the two stocks.

About Recruit

Recruit Holdings Co., Ltd. provides HR technology and business solutions that transforms the world of work. It operates through three segments: HR Technology, Matching & Solutions, and Staffing. The HR Technology segment provides various technological solutions that help job seekers and employers in navigating hiring and recruitment. The Matching & Solutions segment offers HR solutions that support business clients’ recruiting and hiring activities and individual users’ job search activities through its job advertising services and placement services. This segment also provides marketing solutions that provide matching platforms for businesses in various industries, including housing and real estate, beauty, bridal, travel, dining, and others, as well as SaaS solutions, which are business and management support tools for small and medium-sized companies. The Staffing segment provides temporary staffing services in Japan, Europe, the United States, and Australia. Recruit Holdings Co., Ltd. operates in more than 60 countries. The company was formerly known as Recruit Co., Ltd. and changed its name to Recruit Holdings Co., Ltd. in October 2012. Recruit Holdings Co., Ltd. was founded in 1960 and is headquartered in Tokyo, Japan.

About DKSH

DKSH Holding AG provides various market expansion services in Thailand, Greater China, Malaysia, Singapore, rest of the Asia Pacific, and internationally. The company offers sourcing, market insights, marketing, sales, eCommerce, distribution, logistics, and after-sales services. It operates through four segments: Healthcare, Consumer Goods, Performance Materials, and Technology. The Healthcare segment provides various services, such as registration, regulatory, market entry studies, importation, customs clearance, marketing and sales, physical distribution, invoicing, and cash collection services for ethical pharmaceuticals, consumer health, and over-the-counter health products, as well as medical devices. The Consumer Goods segment offers a range of services, including product feasibility studies, registration, importation, customs clearance, marketing and merchandising, sales, warehousing, physical distribution, invoicing, cash collection, and after-sales services for fast moving consumer goods, food services, luxury goods, and fashion and lifestyle products, as well as hair and skin cosmetics. The Performance Materials segment sources, markets, and distributes a range of specialty chemicals and ingredients for the pharmaceutical, personal care, food and beverage, and industrial applications, as well as provides market expansion services for performance materials. The Technology segment offers market expansion services comprising a range of capital investment goods and analytical instruments in the areas of infrastructure, industrial materials and supplies, precision and textile machinery, semiconductors, photovoltaic and electronics, agriculture, and hospitality, as well as specialized industrial applications. The company was founded in 1865 and is based in Zurich, Switzerland.