Aramark (NYSE: ARMK) and Yield10 Bioscience (NASDAQ:YTEN) are both consumer staples companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, analyst recommendations, institutional ownership, risk, dividends, earnings and profitability.
Risk & Volatility
Aramark has a beta of 0.6, suggesting that its share price is 40% less volatile than the S&P 500. Comparatively, Yield10 Bioscience has a beta of 3.37, suggesting that its share price is 237% more volatile than the S&P 500.
Institutional & Insider Ownership
94.7% of Aramark shares are held by institutional investors. Comparatively, 9.4% of Yield10 Bioscience shares are held by institutional investors. 3.3% of Aramark shares are held by company insiders. Comparatively, 11.2% of Yield10 Bioscience shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Aramark pays an annual dividend of $0.42 per share and has a dividend yield of 1.0%. Yield10 Bioscience does not pay a dividend. Aramark pays out 19.5% of its earnings in the form of a dividend. Aramark has raised its dividend for 3 consecutive years.
This is a breakdown of current recommendations and price targets for Aramark and Yield10 Bioscience, as reported by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
Aramark presently has a consensus target price of $47.43, indicating a potential upside of 15.54%. Given Aramark’s higher probable upside, analysts plainly believe Aramark is more favorable than Yield10 Bioscience.
This table compares Aramark and Yield10 Bioscience’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Valuation and Earnings
This table compares Aramark and Yield10 Bioscience’s top-line revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Aramark||$14.60 billion||0.69||$373.92 million||$2.15||19.09|
|Yield10 Bioscience||$940,000.00||22.05||-$9.39 million||($3.24)||-0.65|
Aramark has higher revenue and earnings than Yield10 Bioscience. Yield10 Bioscience is trading at a lower price-to-earnings ratio than Aramark, indicating that it is currently the more affordable of the two stocks.
Aramark beats Yield10 Bioscience on 12 of the 16 factors compared between the two stocks.
Aramark Company Profile
Aramark is a global provider of food, facilities and uniform services to education, healthcare, business and industry, and sports, leisure and corrections clients. The Company operates through three segments: Food and Support Services North America (FSS North America), Food and Support Services International (FSS International), and Uniform and Career Apparel (Uniform). FSS North America and FSS International segments include food, refreshment, specialized dietary and support services, including facility maintenance and housekeeping, provided to business, educational and healthcare institutions and in sports, leisure and other facilities. The Uniform segment includes rental, sale, cleaning, maintenance and delivery of personalized uniforms and other textile items to clients in a range of industries in the United States, Puerto Rico, Japan and Canada, including manufacturing, transportation, construction, restaurants and hotels, healthcare and pharmaceutical industries.
Yield10 Bioscience Company Profile
Yield10 Bioscience, Inc., formerly Metabolix, Inc., is an agricultural bioscience company. The Company is focused on developing disruptive technologies for step-change improvements in crop yield for food and feed crops to enhance global food security. By working on new approaches to improve fundamental elements of plant photosynthetic efficiency and optimizing carbon metabolism to direct more carbon to seed production, the Company is advancing several yield traits it has developed in crops, such as Camelina, canola, soybean and corn. The Company concentrates on technologies that enables it to improve carbon dioxide fixation efficiency in photosynthesis and its direction to and conversion into plant matter. The Company has an additional agricultural science facility with greenhouses in Saskatoon, Saskatchewan, Canada.
Receive News & Ratings for Aramark Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Aramark and related companies with MarketBeat.com's FREE daily email newsletter.