Barings Corporate Investors (NYSE:MCI – Get Free Report) and Westwood Holdings Group (NYSE:WHG – Get Free Report) are both small-cap finance companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, risk, analyst recommendations, institutional ownership, profitability, valuation and earnings.
Insider & Institutional Ownership
56.6% of Westwood Holdings Group shares are held by institutional investors. 1.1% of Barings Corporate Investors shares are held by company insiders. Comparatively, 17.4% of Westwood Holdings Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Profitability
This table compares Barings Corporate Investors and Westwood Holdings Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Barings Corporate Investors | N/A | N/A | N/A |
| Westwood Holdings Group | 7.40% | 8.34% | 6.82% |
Analyst Recommendations
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Barings Corporate Investors | 0 | 0 | 0 | 0 | 0.00 |
| Westwood Holdings Group | 0 | 0 | 1 | 0 | 3.00 |
Valuation & Earnings
This table compares Barings Corporate Investors and Westwood Holdings Group”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Barings Corporate Investors | N/A | N/A | N/A | N/A | N/A |
| Westwood Holdings Group | $97.76 million | 1.59 | $7.06 million | $0.83 | 19.72 |
Westwood Holdings Group has higher revenue and earnings than Barings Corporate Investors.
Volatility & Risk
Barings Corporate Investors has a beta of 0.33, indicating that its stock price is 67% less volatile than the S&P 500. Comparatively, Westwood Holdings Group has a beta of 0.62, indicating that its stock price is 38% less volatile than the S&P 500.
Dividends
Barings Corporate Investors pays an annual dividend of $1.60 per share and has a dividend yield of 9.3%. Westwood Holdings Group pays an annual dividend of $0.60 per share and has a dividend yield of 3.7%. Westwood Holdings Group pays out 72.3% of its earnings in the form of a dividend.
Summary
Westwood Holdings Group beats Barings Corporate Investors on 9 of the 11 factors compared between the two stocks.
About Barings Corporate Investors
Babson Capital Corporate Investors trust is a closed ended fixed income mutual fund launched and managed by Barings LLC. It invests in fixed income markets of the United States. The fund seeks to invest in securities of companies operating across diversified sectors. It primarily invests in a portfolio of privately placed, below-investment grade, long term corporate debt obligations. The fund also invests in marketable investment grade debt securities, other marketable debt securities, and marketable common stocks. It was formerly known as Babson Capital Corporate Investors. Babson Capital Corporate Investors trust was formed in 1971 and is domiciled in the United States.
About Westwood Holdings Group
Westwood Holdings Group, Inc., through its subsidiaries, manages investment assets and provides services for its clients. The company operates in two segments, Advisory and Trust. The Advisory segment provides investment advisory services to corporate retirement plans, public retirement plans, endowments, foundations, individuals, and the Westwood Funds; and investment sub-advisory services to mutual funds, pooled investment vehicles, and its Trust segment. The Trust segment offers trust and custodial services; and participates in common trust funds that it sponsors to institutions and high net worth individuals. Westwood Holdings Group, Inc. was founded in 1983 and is based in Dallas, Texas.
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