Head to Head Survey: BJ’s Wholesale Club (NYSE:BJ) versus Greystone Logistics (OTCMKTS:GLGI)

Greystone Logistics (OTCMKTS:GLGI) and BJ’s Wholesale Club (NYSE:BJ) are both consumer staples companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, valuation, risk, analyst recommendations, institutional ownership, earnings and profitability.

Earnings & Valuation

This table compares Greystone Logistics and BJ’s Wholesale Club”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Greystone Logistics	$57.87 million	0.13	$2.35 million	($0.04)	-7.15
BJ’s Wholesale Club	$21.46 billion	0.61	$578.38 million	$4.38	22.98

BJ’s Wholesale Club has higher revenue and earnings than Greystone Logistics. Greystone Logistics is trading at a lower price-to-earnings ratio than BJ’s Wholesale Club, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Greystone Logistics and BJ’s Wholesale Club’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Greystone Logistics	-1.86%	-4.88%	-2.10%
BJ’s Wholesale Club	2.70%	27.55%	7.90%

Insider & Institutional Ownership

10.3% of Greystone Logistics shares are held by institutional investors. Comparatively, 98.6% of BJ’s Wholesale Club shares are held by institutional investors. 1.4% of BJ’s Wholesale Club shares are held 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.

Volatility & Risk

Greystone Logistics has a beta of 0.08, meaning that its share price is 92% less volatile than the S&P 500. Comparatively, BJ’s Wholesale Club has a beta of 0.36, meaning that its share price is 64% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Greystone Logistics and BJ’s Wholesale Club, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Greystone Logistics	0	0	0	0	0.00
BJ’s Wholesale Club	1	10	9	0	2.40

BJ’s Wholesale Club has a consensus price target of $107.63, indicating a potential upside of 6.95%. Given BJ’s Wholesale Club’s stronger consensus rating and higher probable upside, analysts clearly believe BJ’s Wholesale Club is more favorable than Greystone Logistics.

Summary

BJ’s Wholesale Club beats Greystone Logistics on 14 of the 14 factors compared between the two stocks.

About Greystone Logistics

Greystone Logistics, Inc., through its subsidiaries, manufactures and markets plastic pallets and pelletized recycled plastic resins in the United States. The company offers rackable, can, nestable, display, monoblock, half-barrel and slim keg stackable, drum, and mid duty pallets. It sells its pallets directly, as well as through a network of independent contractor distributors. The company was formerly known as PalWeb Corporation and changed its name to Greystone Logistics, Inc. in March 2005. Greystone Logistics, Inc. was incorporated in 1969 and is based in Tulsa, Oklahoma.

About BJ’s Wholesale Club

BJ’s Wholesale Club Holdings, Inc. engages in the operation of membership warehouse clubs. Its product categories include grocery, household and pet, television and electronics, furniture, computer and tablets, patio and outdoor living, lawn and garden, baby and kids, toys, home, health and beauty, appliances, and jewelry. The company was founded in 1984 and is headquartered in Marlborough, MA.