Comparing Brightstar Lottery (BRSL) & Its Peers

Brightstar Lottery (NYSE:BRSL) is one of 385 public companies in the “Hotels, Restaurants & Leisure” industry, but how does it weigh in compared to its peers? We will compare Brightstar Lottery to similar companies based on the strength of its institutional ownership, risk, profitability, valuation, analyst recommendations, earnings and dividends.

Dividends

Brightstar Lottery pays an annual dividend of $0.92 per share and has a dividend yield of 8.1%. Brightstar Lottery pays out 70.8% of its earnings in the form of a dividend. As a group, “Hotels, Restaurants & Leisure” companies pay a dividend yield of 3.6% and pay out 46.2% of their earnings in the form of a dividend.

Earnings & Valuation

This table compares Brightstar Lottery and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Brightstar Lottery	$2.51 billion	$147.00 million	8.70
Brightstar Lottery Competitors	$3.36 billion	$245.98 million	11.56

Brightstar Lottery’s peers have higher revenue and earnings than Brightstar Lottery. Brightstar Lottery is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Brightstar Lottery and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brightstar Lottery	1	4	4	0	2.33
Brightstar Lottery Competitors	3700	16848	24879	871	2.50

Brightstar Lottery presently has a consensus price target of $15.10, indicating a potential upside of 33.57%. As a group, “Hotels, Restaurants & Leisure” companies have a potential upside of 71.26%. Given Brightstar Lottery’s peers stronger consensus rating and higher possible upside, analysts plainly believe Brightstar Lottery has less favorable growth aspects than its peers.

Volatility and Risk

Brightstar Lottery has a beta of 1.03, indicating that its share price is 3% more volatile than the S&P 500. Comparatively, Brightstar Lottery’s peers have a beta of 1.61, indicating that their average share price is 61% more volatile than the S&P 500.

Profitability

This table compares Brightstar Lottery and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brightstar Lottery	10.05%	10.47%	2.06%
Brightstar Lottery Competitors	-10.51%	-45.95%	1.82%

Institutional & Insider Ownership

44.3% of Brightstar Lottery shares are owned by institutional investors. Comparatively, 48.8% of shares of all “Hotels, Restaurants & Leisure” companies are owned by institutional investors. 1.2% of Brightstar Lottery shares are owned by insiders. Comparatively, 22.1% of shares of all “Hotels, Restaurants & Leisure” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

Brightstar Lottery peers beat Brightstar Lottery on 11 of the 15 factors compared.

Brightstar Lottery Company Profile

International Game Technology PLC operates and provides gaming technology products and services in North America, Europe, the Middle East, Africa, Asia-Pacific, Latin America, and the Caribbean. It operates in three segments: Global Lottery, Global Gaming, and Digital & Betting. The company designs, sells, operates, and leases a suite of point-of-sale machines that reconciles lottery funds between the retailer and lottery authority; provides online lottery transaction processing systems; produces instant ticket games; and offers printing services, such as instant ticket marketing plans and graphic design, programming, packaging, shipping, and delivery services. It also designs, develops, assembles, and provides cabinets, games, systems, and software for the gaming market, as well as offers gaming management systems for casino management, customer relationship management, patron management, and server-based gaming. In addition, the company provides video lottery terminals (VLT), VLT central systems, and VLT games. Further, it offers digital gaming and betting; sports betting; and technology and management services. Additionally, the company provides digital gaming products and services, including blackjack, roulette, slot games, poker, bingo, and other casino card games; social casino content; and remote game server, as well as iGaming systems and digital platforms that offer player account management, advanced marketing and analytical, and payment system services. It processes commercial transactions, such as prepaid cellular telephone recharges, bill payments, e-vouchers and retail-based programs, electronic tax payments, prepaid card recharges, and stamp duty and money transfer services. The company was formerly known as GTECH S.p.A. and changed its name to International Game Technology PLC in April 2015. The company was founded in 2014 and is headquartered in London, the United Kingdom. International Game Technology PLC is a subsidiary of De Agostini S.p.A.