Contrasting Fast Retailing (OTCMKTS:FRCOY) & Mr Price Group (OTCMKTS:MRPLY)

Mr Price Group (OTCMKTS:MRPLY) and Fast Retailing (OTCMKTS:FRCOY) are both consumer cyclical companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, institutional ownership, valuation, dividends, analyst recommendations, earnings and profitability.

Dividends

Mr Price Group pays an annual dividend of $3.71 per share and has a dividend yield of 35.8%. Fast Retailing pays an annual dividend of $0.20 per share and has a dividend yield of 0.5%. Mr Price Group pays out 44.8% of its earnings in the form of a dividend. Fast Retailing pays out 0.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Mr Price Group and Fast Retailing, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mr Price Group	0	0	1	0	3.00
Fast Retailing	0	1	0	1	3.00

Insider and Institutional Ownership

0.3% of Mr Price Group shares are held by institutional investors. Comparatively, 0.0% of Fast Retailing shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Mr Price Group and Fast Retailing’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mr Price Group	N/A	N/A	N/A
Fast Retailing	N/A	N/A	N/A

Earnings and Valuation

This table compares Mr Price Group and Fast Retailing”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mr Price Group	N/A	N/A	N/A	$8.28	1.25
Fast Retailing	N/A	N/A	N/A	$99.47	0.41

Fast Retailing is trading at a lower price-to-earnings ratio than Mr Price Group, indicating that it is currently the more affordable of the two stocks.

Summary

Mr Price Group beats Fast Retailing on 4 of the 7 factors compared between the two stocks.

About Mr Price Group

Mr Price Group Limited, together with its subsidiaries, operates as a fashion retailer serving women, men, and children in South Africa and internationally. The company operates through Apparel, Homeware, Financial Services, and Telecoms segments. It offers clothing, cosmetics, babywear, school wear, footwear, underwear, and accessories; furniture and kids merchandise; sporting, outdoor, and fitness products comprising footwear, apparel, equipment, and accessories; women’s smart and casual fashion and intimate wear; and home textile and decor products for bedroom, living-room, bathroom, kitchen, and dining-room. In addition, the company provides credit services; insurance products; cellular products and services; mobile devices and accessories; and value-added services. It serves its customers through an omni-channel retail distribution in Africa, as well as through its online channels. Mr Price Group Limited was founded in 1885 and is based in Durban, South Africa.

About Fast Retailing

Fast Retailing Co., Ltd., through its subsidiaries, operates as an apparel designer and retailer in Japan and internationally. The company operates through UNIQLO Japan, UNIQLO International, GU, and Global Brands segments. It manufactures and retails clothing for men, women, children, and babies, as well as offers shoes and other goods and items. The company operates stores and franchises under the UNIQLO, GU, PLST, Theory, COMPTOIR DES COTONNIERS, J Brand, and PRINCESSE TAM.TAM brand names. It also sells its products through online; and provides real estate leasing services. The company was formerly known as Ogori Shoji Co., Ltd. and changed its name to Fast Retailing Co., Ltd. in September 1991. Fast Retailing Co., Ltd. was founded in 1949 and is headquartered in Yamaguchi, Japan.