Reviewing Planet Fitness (NYSE:PLNT) and Royal Olympic Cruise Lines (OTCMKTS:ROCLF)

Royal Olympic Cruise Lines (OTCMKTS:ROCLF) and Planet Fitness (NYSE:PLNT) are both consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, risk, analyst recommendations, earnings, valuation, profitability and institutional ownership.

Earnings and Valuation

This table compares Royal Olympic Cruise Lines and Planet Fitness”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Royal Olympic Cruise Lines	N/A	N/A	N/A	N/A	N/A
Planet Fitness	$1.32 billion	4.49	$219.10 million	$2.62	28.38

Planet Fitness has higher revenue and earnings than Royal Olympic Cruise Lines.

Analyst Ratings

This is a breakdown of current ratings and price targets for Royal Olympic Cruise Lines and Planet Fitness, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Royal Olympic Cruise Lines	0	0	0	0	0.00
Planet Fitness	1	4	11	3	2.84

Planet Fitness has a consensus target price of $116.93, indicating a potential upside of 57.25%. Given Planet Fitness’ stronger consensus rating and higher probable upside, analysts plainly believe Planet Fitness is more favorable than Royal Olympic Cruise Lines.

Profitability

This table compares Royal Olympic Cruise Lines and Planet Fitness’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Royal Olympic Cruise Lines	N/A	N/A	N/A
Planet Fitness	16.55%	-97.97%	8.36%

Insider & Institutional Ownership

95.5% of Planet Fitness shares are owned by institutional investors. 64.1% of Royal Olympic Cruise Lines shares are owned by insiders. Comparatively, 0.8% of Planet Fitness shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Volatility and Risk

Royal Olympic Cruise Lines has a beta of 2.99, suggesting that its share price is 199% more volatile than the S&P 500. Comparatively, Planet Fitness has a beta of 1.25, suggesting that its share price is 25% more volatile than the S&P 500.

Summary

Planet Fitness beats Royal Olympic Cruise Lines on 8 of the 11 factors compared between the two stocks.

About Royal Olympic Cruise Lines

Royal Olympic Cruise Lines, Inc. engages in the ownership, operation, and management of a fleet of cruise ships. The company also provides services under management agreements for other cruise vessels, for which a management fee is charged. Its fleet, in 2002, consisted of seven overnight cruise ships, ranging in capacity from approximately 450 to 836 passengers. The geographical areas served by the company include the eastern and western Mediterranean, South and Central America, the Caribbean, South Africa, and the Far East. Its competitors include Costa Crociere SpA, Mediterranean Shipping Cruises Limited, P&O Cruises Limited, and Holland America. The company was founded in 1938 and is based in Piraeus, Greece.

About Planet Fitness

Planet Fitness, Inc., together with its subsidiaries, franchises and operates fitness centers under the Planet Fitness brand. The company operates through three segments: Franchise, Corporate-Owned Stores, and Equipment. The company is involved in franchising business in the United States, Puerto Rico, Canada, Panama, Mexico, and Australia. It engages in the sale of fitness equipment to franchisee-owned stores in the United States, Canada, and Mexico. In addition, the company operates corporate-owned stores in the United States and Canada. Planet Fitness, Inc. was founded in 1992 and is headquartered in Hampton, New Hampshire.