Financial Contrast: Securitas AB (publ) (OTCMKTS:SCTBF) & Republic Services (NYSE:RSG)

Republic Services (NYSE:RSG) and Securitas AB (publ) (OTCMKTS:SCTBF) are both industrials companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, risk, valuation, profitability, dividends and earnings.

Institutional & Insider Ownership

57.7% of Republic Services shares are owned by institutional investors. Comparatively, 35.4% of Securitas AB (publ) shares are owned by institutional investors. 0.1% of Republic Services shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Republic Services and Securitas AB (publ)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Republic Services	12.94%	18.69%	6.49%
Securitas AB (publ)	N/A	N/A	N/A

Earnings & Valuation

This table compares Republic Services and Securitas AB (publ)”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Republic Services	$16.59 billion	3.96	$2.14 billion	$7.06	30.42
Securitas AB (publ)	N/A	N/A	N/A	N/A	N/A

Republic Services has higher revenue and earnings than Securitas AB (publ).

Analyst Recommendations

This is a summary of recent recommendations and price targets for Republic Services and Securitas AB (publ), as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Republic Services	0	11	11	0	2.50
Securitas AB (publ)	0	0	0	0	0.00

Republic Services presently has a consensus price target of $245.26, indicating a potential upside of 14.21%. Given Republic Services’ stronger consensus rating and higher possible upside, research analysts clearly believe Republic Services is more favorable than Securitas AB (publ).

Summary

Republic Services beats Securitas AB (publ) on 9 of the 9 factors compared between the two stocks.

About Republic Services

Republic Services, Inc., together with its subsidiaries, offers environmental services in the United States and Canada. It is involved in the collection and processing of recyclable, solid waste, and industrial waste materials; transportation and disposal of non-hazardous and hazardous waste streams; and other environmental solutions. Its residential collection services include curbside collection of material for transport to transfer stations, landfills, recycling centers, and organics processing facilities; supply of recycling and waste containers; and renting of compactors. The company also engages in the processing and sale of old corrugated containers, old newsprint, aluminum, glass, and other materials; and provision of landfill services. It serves small-container, large-container, and residential customers. The company was incorporated in 1996 and is based in Phoenix, Arizona.

About Securitas AB (publ)

Securitas AB (publ) provides security services in North America, Europe, Latin America, Africa, the Middle East, Asia, and Australia. The company operates through three segments: Securitas North America, Securitas Europe, and Securitas Ibero-America. It offers on-site guarding, mobile patrol, canine security, reception, loss prevention, screening, and track and trace services, as well as operates Securitas operation centers. The company also provides remote video solutions; aviation security services, such as physical security, airline security, hospitality, and consultancy related services; and electronic security services. In addition, it offers fire and safety; enterprise risk management services, such as risk and security management, executive protection, corporate investigations, and due diligence services; and intelligent security and home alarm services. The company was founded in 1934 and is headquartered in Stockholm, Sweden.