Head to Head Analysis: MINISO Group (NYSE:MNSO) vs. Seven and I (OTCMKTS:SVNDY)

MINISO Group (NYSE:MNSO) and Seven and I (OTCMKTS:SVNDY) are both consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, risk, analyst recommendations, earnings, valuation, profitability and institutional ownership.

Analyst Ratings

This is a breakdown of current ratings and price targets for MINISO Group and Seven and I, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MINISO Group	1	4	2	1	2.38
Seven and I	0	2	0	0	2.00

MINISO Group currently has a consensus target price of $15.27, indicating a potential upside of 38.42%. Given MINISO Group’s stronger consensus rating and higher probable upside, research analysts plainly believe MINISO Group is more favorable than Seven and I.

Volatility & Risk

MINISO Group has a beta of 0.17, indicating that its stock price is 83% less volatile than the S&P 500. Comparatively, Seven and I has a beta of 0.36, indicating that its stock price is 64% less volatile than the S&P 500.

Profitability

This table compares MINISO Group and Seven and I’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MINISO Group	5.32%	19.41%	7.11%
Seven and I	2.89%	8.20%	3.23%

Institutional and Insider Ownership

17.2% of MINISO Group shares are held by institutional investors. Comparatively, 0.0% of Seven and I shares are held by institutional investors. 73.5% of MINISO Group shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Dividends

MINISO Group pays an annual dividend of $0.73 per share and has a dividend yield of 6.6%. Seven and I pays an annual dividend of $0.09 per share and has a dividend yield of 0.6%. MINISO Group pays out 125.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Seven and I pays out 11.2% of its earnings in the form of a dividend.

Earnings & Valuation

This table compares MINISO Group and Seven and I”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MINISO Group	$23.55 billion	0.14	$167.62 million	$0.58	19.03
Seven and I	$69.63 billion	0.47	$1.96 billion	$0.80	17.74

Seven and I has higher revenue and earnings than MINISO Group. Seven and I is trading at a lower price-to-earnings ratio than MINISO Group, indicating that it is currently the more affordable of the two stocks.

Summary

MINISO Group beats Seven and I on 11 of the 17 factors compared between the two stocks.

About MINISO Group

MINISO Group Holding Limited, an investment holding company, engages in the retail and wholesale of lifestyle products and pop toy products in China, Asia, the United States, and Europe. The company offers products in various categories, including home decor products, small electronics, textiles, accessories, beauty tools, toys, cosmetics, personal care products, snacks, fragrances and perfumes, and stationeries and gifts under the MINISO and WonderLife brand names; and blind boxes, toy bricks, model figures, model kits, collectible dolls, Ichiban Kuji, sculptures, and other popular toys under the TOP TOY brand. The company was founded in 2013 and is based in Guangzhou, China.

About Seven and I

Seven & i Holdings Co., Ltd. operates convenience stores, superstores, department stores, supermarkets, and specialty stores. It operates through six segments: Domestic Convenience Store operations, Overseas Convenience Store Operations, Superstore Operations, Department and Specialty Store Operations, Financial Services, and Others. The company engages in the operation of convenience stores comprising directly managed corporate stores and franchised stores; retail business that provides daily life necessities, such as food and other daily necessities and dollar merchandise and services; banking, leasing, and credit card business; and real estate business. Seven & i Holdings Co., Ltd. was incorporated in 2005 and is headquartered in Tokyo, Japan.