Comparing Target Hospitality (TH) & The Competition

Target Hospitality (NASDAQ:TH) is one of 52 public companies in the “LEISURE&REC SVS” industry, but how does it compare to its rivals? We will compare Target Hospitality to related businesses based on the strength of its valuation, analyst recommendations, earnings, risk, profitability, institutional ownership and dividends.

Institutional & Insider Ownership

32.4% of Target Hospitality shares are held by institutional investors. Comparatively, 58.3% of shares of all “LEISURE&REC SVS” companies are held by institutional investors. 68.0% of Target Hospitality shares are held by insiders. Comparatively, 20.5% of shares of all “LEISURE&REC SVS” companies 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.

Earnings & Valuation

This table compares Target Hospitality and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Target Hospitality	$386.27 million	$71.26 million	16.91
Target Hospitality Competitors	$3.98 billion	$328.73 million	32.87

Target Hospitality’s rivals have higher revenue and earnings than Target Hospitality. Target Hospitality is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

Target Hospitality has a beta of 1.85, suggesting that its share price is 85% more volatile than the S&P 500. Comparatively, Target Hospitality’s rivals have a beta of 0.60, suggesting that their average share price is 40% less volatile than the S&P 500.

Profitability

This table compares Target Hospitality and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Target Hospitality	12.71%	11.34%	6.94%
Target Hospitality Competitors	-88.12%	-67.33%	-9.20%

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Target Hospitality and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Target Hospitality	0	2	1	1	2.75
Target Hospitality Competitors	531	1567	3004	49	2.50

Target Hospitality currently has a consensus target price of $11.25, suggesting a potential upside of 54.68%. As a group, “LEISURE&REC SVS” companies have a potential upside of 13.80%. Given Target Hospitality’s stronger consensus rating and higher possible upside, analysts clearly believe Target Hospitality is more favorable than its rivals.

Summary

Target Hospitality beats its rivals on 8 of the 13 factors compared.

About Target Hospitality

Target Hospitality Corp. operates as a specialty rental and hospitality services company in North America. The company operates through two segments, Hospitality & Facilities Services – South and Government. It owns a network of specialty rental accommodation units. In addition, the company provides catering and food, maintenance, housekeeping, grounds-keeping, security, health and recreation facilities, workforce community management, concierge, and laundry services. It serves the U.S. government contractors and investment grade natural resource development companies. Target Hospitality Corp. was founded in 1978 and is headquartered in The Woodlands, Texas.