Global Business Travel Group (NYSE:GBTG) vs. Caesars Entertainment (NASDAQ:CZR) Head-To-Head Analysis

Global Business Travel Group (NYSE:GBTG) and Caesars Entertainment (NASDAQ:CZR) are both mid-cap consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, analyst recommendations, institutional ownership, dividends, valuation and profitability.

Analyst Recommendations

This is a summary of current recommendations for Global Business Travel Group and Caesars Entertainment, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Global Business Travel Group	0	6	2	0	2.25
Caesars Entertainment	1	16	2	0	2.05

Global Business Travel Group presently has a consensus price target of $8.90, indicating a potential downside of 6.32%. Caesars Entertainment has a consensus price target of $30.71, indicating a potential upside of 5.66%. Given Caesars Entertainment’s higher probable upside, analysts clearly believe Caesars Entertainment is more favorable than Global Business Travel Group.

Profitability

This table compares Global Business Travel Group and Caesars Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Global Business Travel Group	2.77%	2.47%	0.80%
Caesars Entertainment	-3.99%	-7.64%	-0.89%

Insider & Institutional Ownership

82.5% of Global Business Travel Group shares are held by institutional investors. Comparatively, 91.8% of Caesars Entertainment shares are held by institutional investors. 5.4% of Global Business Travel Group shares are held by company insiders. Comparatively, 1.2% of Caesars Entertainment shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Global Business Travel Group and Caesars Entertainment”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Global Business Travel Group	$3.18 billion	1.56	$109.00 million	$0.17	55.88
Caesars Entertainment	$11.49 billion	0.52	-$502.00 million	($2.28)	-12.75

Global Business Travel Group has higher earnings, but lower revenue than Caesars Entertainment. Caesars Entertainment is trading at a lower price-to-earnings ratio than Global Business Travel Group, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Global Business Travel Group has a beta of 0.93, indicating that its share price is 7% less volatile than the S&P 500. Comparatively, Caesars Entertainment has a beta of 1.85, indicating that its share price is 85% more volatile than the S&P 500.

Summary

Global Business Travel Group beats Caesars Entertainment on 9 of the 13 factors compared between the two stocks.

About Global Business Travel Group

Global Business Travel Group, Inc. provides business-to-business (B2B) travel platform in the United States and internationally. The company's platform offers a suite of technology-enabled solutions to business travelers and clients; travel content suppliers, such as airlines, hotels, ground transportation, and aggregators; and third-party travel agencies. It also provides consulting, meetings and events planning, and outsourced services. Global Business Travel Group, Inc. is based in New York, New York.

About Caesars Entertainment

Caesars Entertainment, Inc. operates as a gaming and hospitality company. The company owns, leases, or manages domestic properties in 18 states with slot machines, video lottery terminals and e-tables, and hotel rooms, as well as table games, including poker. It also operates and conducts retail and online sports wagering across 31 jurisdictions in North America and operates iGaming in five jurisdictions in North America; sports betting from our retail and online sportsbooks; and other games, such as keno. In addition, the company operates dining venues, bars, nightclubs, lounges, hotels, and entertainment venues; and provides staffing and management services. Caesars Entertainment, Inc. was founded in 1937 and is based in Reno, Nevada.