Critical Review: C&C Group (CGPZF) & The Competition

C&C Group (OTCMKTS:CGPZF) is one of 140 publicly-traded companies in the “Beverages” industry, but how does it contrast to its competitors? We will compare C&C Group to similar businesses based on the strength of its risk, profitability, analyst recommendations, institutional ownership, valuation, dividends and earnings.

Dividends

C&C Group pays an annual dividend of $0.06 per share and has a dividend yield of 4.3%. C&C Group pays out 21.1% of its earnings in the form of a dividend. As a group, “Beverages” companies pay a dividend yield of 3.1% and pay out 49.0% of their earnings in the form of a dividend. C&C Group is clearly a better dividend stock than its competitors, given its higher yield and lower payout ratio.

Earnings & Valuation

This table compares C&C Group and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
C&C Group	N/A	N/A	4.95
C&C Group Competitors	$9.56 billion	$874.57 million	11.26

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

Analyst Recommendations

This is a summary of recent ratings and price targets for C&C Group and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
C&C Group	0	1	0	0	2.00
C&C Group Competitors	1246	4212	5630	221	2.43

As a group, “Beverages” companies have a potential upside of 13.48%. Given C&C Group’s competitors stronger consensus rating and higher probable upside, analysts clearly believe C&C Group has less favorable growth aspects than its competitors.

Profitability

This table compares C&C Group and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
C&C Group	N/A	N/A	N/A
C&C Group Competitors	-9.25%	-39.52%	-0.98%

Institutional & Insider Ownership

65.2% of C&C Group shares are owned by institutional investors. Comparatively, 36.7% of shares of all “Beverages” companies are owned by institutional investors. 19.0% of shares of all “Beverages” companies are owned by 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.

Summary

C&C Group competitors beat C&C Group on 7 of the 13 factors compared.

C&C Group Company Profile

C&C Group plc manufactures, markets, and distributes beer, cider, wine, spirits, and soft drinks in the Republic of Ireland, Great Britain, and internationally. The company offers its products primarily under the Tennent's, Bulmers, Magners, Orchard Pig, Heverlee, 5 Lamps, Fête, Blackthorn, Seven Summits, Dowd's Lane, Chaplin & Cork's, Celedonia Best, and Addlestones brand name. It also distributes third party branded beers, wines, spirits, cider, and soft drinks. The company was founded in 1935 and is headquartered in Dublin, the Republic of Ireland.