Reviewing Boyd Group Services (OTCMKTS:BYDGF) & Krispy Kreme (NASDAQ:DNUT)

Boyd Group Services (OTCMKTS:BYDGF) and Krispy Kreme (NASDAQ:DNUT) are both consumer staples companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, valuation, institutional ownership, earnings, profitability, risk and analyst recommendations.

Analyst Ratings

This is a breakdown of current ratings for Boyd Group Services and Krispy Kreme, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Boyd Group Services	0	1	4	0	2.80
Krispy Kreme	3	5	4	0	2.08

Krispy Kreme has a consensus price target of $6.45, suggesting a potential upside of 79.67%. Given Krispy Kreme’s higher possible upside, analysts clearly believe Krispy Kreme is more favorable than Boyd Group Services.

Profitability

This table compares Boyd Group Services and Krispy Kreme’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Boyd Group Services	0.27%	2.70%	0.91%
Krispy Kreme	-29.33%	-5.55%	-1.98%

Valuation and Earnings

This table compares Boyd Group Services and Krispy Kreme”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Boyd Group Services	$3.07 billion	1.11	$24.54 million	$0.37	427.62
Krispy Kreme	$1.67 billion	0.37	$3.10 million	($2.65)	-1.35

Boyd Group Services has higher revenue and earnings than Krispy Kreme. Krispy Kreme is trading at a lower price-to-earnings ratio than Boyd Group Services, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

0.2% of Boyd Group Services shares are held by institutional investors. Comparatively, 81.7% of Krispy Kreme shares are held by institutional investors. 3.0% of Krispy Kreme shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Volatility & Risk

Boyd Group Services has a beta of 0.73, suggesting that its stock price is 27% less volatile than the S&P 500. Comparatively, Krispy Kreme has a beta of 1.33, suggesting that its stock price is 33% more volatile than the S&P 500.

Summary

Boyd Group Services beats Krispy Kreme on 9 of the 13 factors compared between the two stocks.

About Boyd Group Services

Boyd Group Services Inc., together with its subsidiaries, operates non-franchised collision repair centers in North America. The company operates its locations under the Boyd Autobody & Glass and Assured Automotive names in Canada; and Gerber Collision & Glass name in the United States. It also operates as a retail auto glass operator under the Gerber Collision & Glass, Glass America, Auto Glass Service, Auto Glass Authority, and Autoglassonly.com names in the United States. In addition, the company operates a third-party administrator, Gerber National Claims Services that offers glass, emergency roadside, and first notice of loss services. It serves insurance companies and individual vehicle owners. The company was founded in 1990 and is headquartered in Winnipeg, Canada.

About Krispy Kreme

Krispy Kreme, Inc., together with its subsidiaries, produces doughnuts in the United States, the United Kingdom, Ireland, Australia, New Zealand, Mexico, Canada, Japan, and internationally. The company operates through three segments: U.S., International, and Market Development. The company offers doughnut experiences through hot light theater and fresh shops, delivered fresh daily branded cabinets and merchandising units within grocery and convenience stores, quick service restaurants, club memberships, drug stores, and ecommerce, as well as through its branded sweet treat line comprising Krispy Kreme branded sweet treats. It also provides cookies under the Insomnia Cookies brand, cookie cakes, ice cream, cookie-wiches, and brownies; and operates Krispy Kreme company-owned shops and franchise shops. The company was formerly known as Krispy Kreme Doughnuts, Inc. and changed its name to Krispy Kreme, Inc. in May 2021. Krispy Kreme, Inc. was founded in 1937 and is based in Charlotte, North Carolina.