Reviewing Mr Price Group (OTCMKTS:MRPLY) and Fast Retailing (OTCMKTS:FRCOY)

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

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fast Retailing	N/A	N/A	N/A	$99.47	0.44
Mr Price Group	N/A	N/A	N/A	$8.28	1.36

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.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Fast Retailing and Mr Price Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fast Retailing	0	0	0	1	4.00
Mr Price Group	0	0	1	0	3.00

Institutional and Insider Ownership

0.0% of Fast Retailing shares are owned by institutional investors. Comparatively, 0.3% of Mr Price Group shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Dividends

Fast Retailing pays an annual dividend of $0.20 per share and has a dividend yield of 0.5%. Mr Price Group pays an annual dividend of $3.71 per share and has a dividend yield of 32.8%. Fast Retailing pays out 0.2% of its earnings in the form of a dividend. Mr Price Group pays out 44.8% 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.

Profitability

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

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

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.

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.