Contrasting Ceconomy (OTCMKTS:MTGGY) & PriceSmart (NASDAQ:PSMT)

Ceconomy (OTCMKTS:MTGGY) and PriceSmart (NASDAQ:PSMT) are both consumer staples companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, profitability, risk, analyst recommendations, valuation, earnings and institutional ownership.

Valuation and Earnings

This table compares Ceconomy and PriceSmart”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ceconomy	N/A	N/A	N/A	N/A	N/A
PriceSmart	$5.27 billion	1.06	$147.89 million	$5.21	34.59

PriceSmart has higher revenue and earnings than Ceconomy.

Profitability

This table compares Ceconomy and PriceSmart’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ceconomy	N/A	N/A	N/A
PriceSmart	2.82%	12.16%	6.67%

Institutional and Insider Ownership

80.5% of PriceSmart shares are held by institutional investors. 17.0% of PriceSmart shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings for Ceconomy and PriceSmart, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ceconomy	0	0	0	0	0.00
PriceSmart	0	0	2	0	3.00

PriceSmart has a consensus price target of $198.00, suggesting a potential upside of 9.87%. Given PriceSmart’s stronger consensus rating and higher probable upside, analysts plainly believe PriceSmart is more favorable than Ceconomy.

Summary

PriceSmart beats Ceconomy on 9 of the 9 factors compared between the two stocks.

About Ceconomy

Ceconomy AG engages in the consumer electronics retail business. The company operates approximately 850 stores in 14 countries under the MediaMarkt brand; and approximately 170 stores in 3 countries under the Saturn brand. It also operates Flip4New for selling used electronic articles online. In addition, the company offers professional assistance for the installation, connection, and troubleshooting of electronic devices at home under the Deutsche Technikberatung brand. It operates in Germany, Austria, Switzerland, and Hungary, as well as in Western, Southern, and Eastern Europe. The company is based in Düsseldorf, Germany.

About PriceSmart

PriceSmart, Inc. owns and operates U.S.-style membership shopping warehouse clubs in the United States, Central America, the Caribbean, and Colombia. The company provides basic and private label consumer products under the Member's Selection brand, including groceries, cleaning supplies, health and beauty aids, meat, produce, deli, seafood, and poultry. It offers electronics, large and small appliances, automotive, hardware, sporting goods, seasonal products, clothing, domestics, and home furnishing products. In addition, the company offers food and bakery services, as well as health services, such as optical, audiology, and pharmacy. Further, it operates an e-commerce platform for online ordering, curbside pickup, and delivery services. PriceSmart, Inc. was incorporated in 1994 and is headquartered in San Diego, California.