Contrasting Grupo Aeroportuario Del Pacifico (NYSE:PAC) & Universal Logistics (NASDAQ:ULH)

Grupo Aeroportuario Del Pacifico (NYSE:PAC) and Universal Logistics (NASDAQ:ULH) are both transportation companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, earnings, profitability, institutional ownership, analyst recommendations, valuation and risk.

Insider & Institutional Ownership

11.7% of Grupo Aeroportuario Del Pacifico shares are owned by institutional investors. Comparatively, 25.5% of Universal Logistics shares are owned by institutional investors. 73.6% of Universal Logistics 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.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Grupo Aeroportuario Del Pacifico and Universal Logistics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grupo Aeroportuario Del Pacifico	1	4	2	0	2.14
Universal Logistics	0	2	0	0	2.00

Grupo Aeroportuario Del Pacifico presently has a consensus target price of $210.00, indicating a potential downside of 9.80%. Universal Logistics has a consensus target price of $29.00, indicating a potential upside of 33.83%. Given Universal Logistics’ higher possible upside, analysts clearly believe Universal Logistics is more favorable than Grupo Aeroportuario Del Pacifico.

Risk & Volatility

Grupo Aeroportuario Del Pacifico has a beta of 1.13, suggesting that its share price is 13% more volatile than the S&P 500. Comparatively, Universal Logistics has a beta of 0.93, suggesting that its share price is 7% less volatile than the S&P 500.

Profitability

This table compares Grupo Aeroportuario Del Pacifico and Universal Logistics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grupo Aeroportuario Del Pacifico	24.28%	39.81%	11.64%
Universal Logistics	3.66%	9.47%	3.49%

Earnings and Valuation

This table compares Grupo Aeroportuario Del Pacifico and Universal Logistics”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grupo Aeroportuario Del Pacifico	$1.84 billion	6.38	$472.81 million	$9.64	24.15
Universal Logistics	$1.85 billion	0.31	$129.91 million	$2.33	9.30

Grupo Aeroportuario Del Pacifico has higher earnings, but lower revenue than Universal Logistics. Universal Logistics is trading at a lower price-to-earnings ratio than Grupo Aeroportuario Del Pacifico, indicating that it is currently the more affordable of the two stocks.

Dividends

Grupo Aeroportuario Del Pacifico pays an annual dividend of $7.90 per share and has a dividend yield of 3.4%. Universal Logistics pays an annual dividend of $0.42 per share and has a dividend yield of 1.9%. Grupo Aeroportuario Del Pacifico pays out 82.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Universal Logistics pays out 18.0% of its earnings in the form of a dividend.

Summary

Grupo Aeroportuario Del Pacifico beats Universal Logistics on 11 of the 16 factors compared between the two stocks.

About Grupo Aeroportuario Del Pacifico

Grupo Aeroportuario del Pacífico, S.A.B. de C.V., together with its subsidiaries, holds concessions to develop, operate, and manage airports in Mexico and Jamaica. The company operates twelve international airports in Guadalajara and Tijuana areas, Mexico; and two international airports in Montego Bay, Jamaica. It also offers aeronautical services, such as passenger, aircraft landing, parking, airport security, and passenger walkway and airport bus, as well as car packing charges; complementary services, including baggage handling, catering, aircraft maintenance and repair, and fuel; cargo handling; and ground transportation services. In addition, the company provides non-aeronautical services, such as redesigning and modernizing terminal spaces and developing new projects; telephone and internet services; and ground handling services under the brand Primesky, as well as advertising services. Further, it engages in commercial activities comprising leasing space in terminals to airlines and other service providers; to retail stores, such as souvenir and gift shops, fashion and footwear stores, pharmacies, jewelry, electronics, cosmetics, and others; to various food and beverage services; car rental service companies, including parking spots, lots, and car rental reservation booths; to timeshare developers; to financial service providers; and to operators of duty-free stores. Additionally, the company operates parking facilities; VIP lounges; convenience stores; and vending machines. The company was incorporated in 1998 and is headquartered in Guadalajara, Mexico.

About Universal Logistics

Universal Logistics Holdings, Inc. provides transportation and logistics solutions in the United States, Mexico, Canada, and Colombia. The company offers truckload services, which include dry van, flatbed, heavy-haul, and refrigerated operations; domestic and international freight forwarding, and customs brokerage services. It transports various commodities comprising automotive parts, machinery, building materials, paper, food, consumer goods, furniture, steel, and other metals. The company also provides value-added services for individual customer requirements, including material handling, consolidation, sequencing, sub-assembly, cross-dock, kitting, repacking, warehousing, and returnable container management; and intermodal support services comprising short-to-medium distance delivery of steamship and rail truck containers between the port or railhead, and the customer. It serves automotive, steel, and other metals, retail and consumer goods, energy, and manufacturing industries, as well as other transportation companies who aggregate loads from various shippers. The company was formerly known as Universal Truckload Services, Inc. and changed its name to Universal Logistics Holdings, Inc. in April 2016. Universal Logistics Holdings, Inc. was founded in 1932 and is headquartered in Warren, Michigan.