Contrasting SSP Group (OTCMKTS:SSPPF) & Dutch Bros (NYSE:BROS)

Dutch Bros (NYSE:BROS) and SSP Group (OTCMKTS:SSPPF) are both retail/wholesale companies, but which is the better investment? We will contrast the two companies based on the strength of their earnings, profitability, dividends, analyst recommendations, valuation, risk and institutional ownership.

Risk and Volatility

Dutch Bros has a beta of 2.4, suggesting that its share price is 140% more volatile than the S&P 500. Comparatively, SSP Group has a beta of 0.35, suggesting that its share price is 65% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Dutch Bros and SSP Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dutch Bros	0	3	20	1	2.92
SSP Group	0	2	1	0	2.33

Dutch Bros currently has a consensus target price of $75.77, indicating a potential upside of 51.59%. Given Dutch Bros’ stronger consensus rating and higher possible upside, analysts plainly believe Dutch Bros is more favorable than SSP Group.

Profitability

This table compares Dutch Bros and SSP Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Dutch Bros	4.61%	9.42%	2.80%
SSP Group	N/A	N/A	N/A

Valuation & Earnings

This table compares Dutch Bros and SSP Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Dutch Bros	$1.75 billion	4.71	$79.84 million	$0.64	78.10
SSP Group	$4.75 billion	0.36	-$97.17 million	N/A	N/A

Dutch Bros has higher earnings, but lower revenue than SSP Group.

Institutional & Insider Ownership

85.5% of Dutch Bros shares are owned by institutional investors. 38.9% of Dutch Bros shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Dutch Bros beats SSP Group on 12 of the 13 factors compared between the two stocks.

About Dutch Bros

Dutch Bros Inc., together with its subsidiaries, operates and franchises drive-thru shops in the United States. The company operates through Company-Operated Shops and Franchising and Other segments. It serves through company-operated shops and online channels under Dutch Bros; Dutch Bros Coffee; Dutch Bros Rebel; Dutch Bros; and Blue Rebel brands. Dutch Bros Inc. was founded in 1992 and is headquartered in Grants Pass, Oregon.

About SSP Group

SSP Group plc operates food and beverage outlets in North America, Europe, the United Kingdom, Ireland, the Asia Pacific, Eastern Europe, the Middle East, and internationally. The company operates outlets at airports, railway stations, motorway service areas, hospitals, and shopping centers. It also operates sandwich shops, cafes, bars, and restaurants. SSP Group plc was founded in 1961 and is headquartered in London, the United Kingdom.