Financial Comparison: Gannett (NYSE:GCI) & Mastermind (OTCMKTS:MMND)

Gannett (NYSE:GCI) and Mastermind (OTCMKTS:MMND) are both small-cap business services companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, earnings, institutional ownership, risk, valuation, profitability and analyst recommendations.

Insider and Institutional Ownership

76.7% of Gannett shares are held by institutional investors. 4.2% of Gannett shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk and Volatility

Gannett has a beta of 2.55, meaning that its share price is 155% more volatile than the S&P 500. Comparatively, Mastermind has a beta of -0.33, meaning that its share price is 133% less volatile than the S&P 500.

Profitability

This table compares Gannett and Mastermind’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gannett	4.11%	42.98%	3.97%
Mastermind	N/A	N/A	N/A

Analyst Recommendations

This is a summary of current recommendations and price targets for Gannett and Mastermind, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gannett	1	1	1	0	2.00
Mastermind	0	0	0	0	0.00

Gannett presently has a consensus price target of $5.55, indicating a potential upside of 21.98%. Given Gannett’s stronger consensus rating and higher probable upside, research analysts plainly believe Gannett is more favorable than Mastermind.

Valuation and Earnings

This table compares Gannett and Mastermind”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gannett	$2.51 billion	0.27	-$26.35 million	$0.21	21.67
Mastermind	$4.71 million	0.00	-$345,100.00	($0.01)	-0.03

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

Summary

Gannett beats Mastermind on 13 of the 14 factors compared between the two stocks.

About Gannett

Gannett Co., Inc. operates as a media and marketing solutions company in the United States. It operates through three segments: Domestic Gannett Media, Newsquest, and Digital Marketing Solutions. The company's print offerings includes home delivery on a subscription basis; single copy; non-daily publications, such as shoppers and niche publications. It also provides digital-only subscription, including local media brands, USA TODAY NETWORK community events platform, magazines, sports, and games; and E-newspapers; and digital advertising and marketing services. In addition, the company offers digital news and media brands; daily and weekly newspapers; digital marketing solutions, such as online presence solutions, online advertising products, conversion software, and cloud-based software solutions; commercial printing and distribution services; and prints commercial materials, including flyers, business cards, and invitations. The company was formerly known as New Media Investment Group Inc. and changed its name to Gannett Co., Inc. in November 2019. Gannett Co., Inc. was incorporated in 2013 and is headquartered in McLean, Virginia.

About Mastermind

Mastermind, Inc., an involvement marketing service agency, designs, creates, and develops branding and marketing campaigns for corporate clients. Its programs cover various forms, such as creating and managing digital content, designing campaign Websites/landing pages, social media and viral campaigns, mobile marketing initiatives, and brand communications. The company customers comprise of sports and entertainment, oil and gas, automotive, retail, restaurant, B2B, financial services, hotel and hospitality, consumer packaged goods, healthcare and pharmaceuticals, technology, and agricultural chemicals. Mastermind, Inc. was founded in 2012 and is based in Atlanta, Georgia. Mastermind, Inc. is a subsidiary of Mastermind Marketing, Inc.