Analyzing Pick n Pay Stores (PKPYY) and Its Competitors

Pick n Pay Stores (OTCMKTS:PKPYY) is one of 142 public companies in the “Broadline Retail” industry, but how does it compare to its competitors? We will compare Pick n Pay Stores to similar businesses based on the strength of its valuation, risk, analyst recommendations, dividends, profitability, earnings and institutional ownership.

Profitability

This table compares Pick n Pay Stores and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pick n Pay Stores	N/A	N/A	N/A
Pick n Pay Stores Competitors	-3.17%	-34.71%	-1.48%

Analyst Recommendations

This is a breakdown of current ratings and price targets for Pick n Pay Stores and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pick n Pay Stores	0	0	1	0	3.00
Pick n Pay Stores Competitors	1355	5318	10701	295	2.56

As a group, “Broadline Retail” companies have a potential upside of 14.12%. Given Pick n Pay Stores’ competitors higher probable upside, analysts clearly believe Pick n Pay Stores has less favorable growth aspects than its competitors.

Dividends

Pick n Pay Stores pays an annual dividend of $3.18 per share and has a dividend yield of 52.1%. Pick n Pay Stores pays out 52.9% of its earnings in the form of a dividend. As a group, “Broadline Retail” companies pay a dividend yield of 31.9% and pay out 12.4% of their earnings in the form of a dividend.

Institutional and Insider Ownership

44.4% of shares of all “Broadline Retail” companies are owned by institutional investors. 24.0% of shares of all “Broadline Retail” companies are owned by 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.

Valuation and Earnings

This table compares Pick n Pay Stores and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Pick n Pay Stores	N/A	N/A	1.01
Pick n Pay Stores Competitors	$22.54 billion	$1.73 billion	-220.48

Pick n Pay Stores’ competitors have higher revenue and earnings than Pick n Pay Stores. Pick n Pay Stores is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Summary

Pick n Pay Stores beats its competitors on 7 of the 13 factors compared.

Pick n Pay Stores Company Profile

Pick n Pay Stores Limited, together with its subsidiaries, engages in the retail of food, grocery, clothing, liquor, and general merchandise products in South Africa and Rest of Africa. It owns and franchises hypermarkets, supermarkets, clothing stores, liquor stores, superstores, build stores, punch stores, and express stores under the Pick n Pay and Boxer brands. The company also offers its products through an online shopping platform www.pnp.co.za. Pick n Pay Stores Limited was founded in 1967 and is based in Cape Town, South Africa.