ONE Group Hospitality (NASDAQ:STKS) and Compass Group (OTCMKTS:CMPGY) Head-To-Head Survey

Compass Group (OTCMKTS:CMPGY) and ONE Group Hospitality (NASDAQ:STKS) are both retail/wholesale companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, dividends, risk, institutional ownership, profitability, analyst recommendations and valuation.

Insider and Institutional Ownership

0.0% of Compass Group shares are held by institutional investors. Comparatively, 29.1% of ONE Group Hospitality shares are held by institutional investors. 0.0% of Compass Group shares are held by insiders. Comparatively, 19.7% of ONE Group Hospitality shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for Compass Group and ONE Group Hospitality, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Compass Group	0	0	0	1	4.00
ONE Group Hospitality	2	2	2	1	2.29

ONE Group Hospitality has a consensus target price of $4.63, suggesting a potential upside of 153.42%. Given ONE Group Hospitality’s higher possible upside, analysts plainly believe ONE Group Hospitality is more favorable than Compass Group.

Volatility & Risk

Compass Group has a beta of 0.86, indicating that its share price is 14% less volatile than the S&P 500. Comparatively, ONE Group Hospitality has a beta of 2.03, indicating that its share price is 103% more volatile than the S&P 500.

Earnings and Valuation

This table compares Compass Group and ONE Group Hospitality”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Compass Group	$46.16 billion	1.20	$1.40 billion	N/A	N/A
ONE Group Hospitality	$820.59 million	0.07	-$15.82 million	($3.73)	-0.49

Compass Group has higher revenue and earnings than ONE Group Hospitality.

Profitability

This table compares Compass Group and ONE Group Hospitality’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Compass Group	N/A	N/A	N/A
ONE Group Hospitality	-10.21%	181.12%	1.76%

Summary

ONE Group Hospitality beats Compass Group on 7 of the 12 factors compared between the two stocks.

About Compass Group

Compass Group PLC operates as a food and support services company in North America, Europe, and internationally. The company offers support services, such as cleaning in hospitals; reception services at corporate headquarters; managing remote camps; grounds and facilities services at schools and universities; and others. It serves business and industry; healthcare and senior living market; education; sports and leisure; and defense, offshore, and remote sectors. Compass Group PLC was founded in 1941 and is based in Chertsey, the United Kingdom.

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.