Critical Contrast: Oil-Dri Corporation Of America (NYSE:ODC) vs. Reckitt Benckiser Group (OTCMKTS:RBGLY)

Reckitt Benckiser Group (OTCMKTS:RBGLY) and Oil-Dri Corporation Of America (NYSE:ODC) are both consumer staples companies, but which is the better investment? We will compare the two companies based on the strength of their risk, dividends, analyst recommendations, institutional ownership, valuation, earnings and profitability.

Dividends

Reckitt Benckiser Group pays an annual dividend of $0.64 per share and has a dividend yield of 4.6%. Oil-Dri Corporation Of America pays an annual dividend of $0.90 per share and has a dividend yield of 1.0%. Oil-Dri Corporation Of America pays out 23.1% of its earnings in the form of a dividend. Oil-Dri Corporation Of America has increased its dividend for 11 consecutive years.

Profitability

This table compares Reckitt Benckiser Group and Oil-Dri Corporation Of America’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Reckitt Benckiser Group	N/A	N/A	N/A
Oil-Dri Corporation Of America	11.35%	20.53%	14.17%

Volatility & Risk

Reckitt Benckiser Group has a beta of 0.41, meaning that its share price is 59% less volatile than the S&P 500. Comparatively, Oil-Dri Corporation Of America has a beta of 0.78, meaning that its share price is 22% less volatile than the S&P 500.

Insider & Institutional Ownership

0.1% of Reckitt Benckiser Group shares are owned by institutional investors. Comparatively, 49.0% of Oil-Dri Corporation Of America shares are owned by institutional investors. 11.7% of Oil-Dri Corporation Of America shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Reckitt Benckiser Group and Oil-Dri Corporation Of America”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Reckitt Benckiser Group	$18.73 billion	2.37	$4.20 billion	N/A	N/A
Oil-Dri Corporation Of America	$489.76 million	2.67	$54.00 million	$3.89	23.19

Reckitt Benckiser Group has higher revenue and earnings than Oil-Dri Corporation Of America.

Analyst Recommendations

This is a summary of current recommendations for Reckitt Benckiser Group and Oil-Dri Corporation Of America, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Reckitt Benckiser Group	1	2	3	2	2.75
Oil-Dri Corporation Of America	0	0	1	0	3.00

Summary

Oil-Dri Corporation Of America beats Reckitt Benckiser Group on 9 of the 15 factors compared between the two stocks.

About Reckitt Benckiser Group

Reckitt Benckiser Group plc manufactures and sells health, hygiene, and nutrition products worldwide. It offers acne treatment creams, facial washes, and cleansing pads; germ protection products; condoms; heartburn and indigestion solutions; joints health products; chest congestion, cough, and sinus remedies; brain health products; migraine-headaches and rheumatic pain products; sore throat medications; and hair removal products under the Airborne, Clearasil, Dettol, Durex, Gaviscon, Move Free, Neuriva, Nurofen, Mucinex, Strepsils, and Veet brands. The company also offers home fragrances and devices; water softeners; home cleaning products; dish washes; toilet cleaners; disinfecting sprays wipes, laundry sanitisers, and others; sprays, baits, and plug-ins for pest control; stain removals; and fabric washing under the Air Wick, Calgon, Cillit Bang, Finish, Harpic, Lysol, Mortein, Vanish, and Woolite brands. In addition, it provides nutritious complementary foods and milk formulas for infant and young children under the Enfamil and Nutramigen brands. The company was founded in 1819 and is headquartered in Slough, the United Kingdom.

About Oil-Dri Corporation Of America

Oil-Dri Corporation of America is a manufacturer and supplier of specialty sorbent products for the pet care, animal health and nutrition, fluids purification, agricultural ingredients, sports field, industrial and automotive markets. It operates through the Business to Business Products Group and Retail and Wholesale Products Group segments. The Business to Business Products Group segment’s customers include processors and refiners of edible oils, jet fuel and biofuel, manufacturers of animal feed and agricultural chemicals, distributors of animal health and nutrition products, and marketers of consumer products. The Retail and Wholesale Products Group segment customers include retailers of cat litter and related accessories such as mass merchandisers, drugstore chains, pet specialty retail outlets, dollar stores, retail grocery stores as well as distributors of industrial cleanup and automotive products, environmental service companies, and sports field product users. The company was founded by Nick Jaffee in 1941 and is headquartered in Chicago, IL.