Hilton Grand Vacations (NYSE:HGV) vs. Wynn Resorts (NASDAQ:WYNN) Financial Comparison

Wynn Resorts (NASDAQ:WYNN) and Hilton Grand Vacations (NYSE:HGV) are both mid-cap consumer discretionary companies, but which is the superior investment? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, profitability, earnings, institutional ownership, valuation and risk.

Profitability

This table compares Wynn Resorts and Hilton Grand Vacations’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Wynn Resorts	6.05%	-46.52%	3.60%
Hilton Grand Vacations	2.86%	20.40%	2.41%

Volatility and Risk

Wynn Resorts has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.Comparatively, Hilton Grand Vacations has a beta of 1.5, indicating that its share price is 50% more volatile than the S&P 500.

Institutional and Insider Ownership

88.6% of Wynn Resorts shares are owned by institutional investors. Comparatively, 97.2% of Hilton Grand Vacations shares are owned by institutional investors. 0.9% of Wynn Resorts shares are owned by insiders. Comparatively, 3.1% of Hilton Grand Vacations shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Wynn Resorts and Hilton Grand Vacations”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Wynn Resorts	$7.14 billion	1.28	$327.33 million	$4.03	21.94
Hilton Grand Vacations	$5.05 billion	0.60	$81.00 million	$1.77	22.15

Wynn Resorts has higher revenue and earnings than Hilton Grand Vacations. Wynn Resorts is trading at a lower price-to-earnings ratio than Hilton Grand Vacations, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and price targets for Wynn Resorts and Hilton Grand Vacations, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Wynn Resorts	0	2	17	1	2.95
Hilton Grand Vacations	0	8	4	0	2.33

Wynn Resorts currently has a consensus target price of $133.82, suggesting a potential upside of 51.35%. Hilton Grand Vacations has a consensus target price of $54.67, suggesting a potential upside of 39.44%. Given Wynn Resorts’ stronger consensus rating and higher possible upside, equities research analysts plainly believe Wynn Resorts is more favorable than Hilton Grand Vacations.

Summary

Wynn Resorts beats Hilton Grand Vacations on 10 of the 15 factors compared between the two stocks.

About Wynn Resorts

Wynn Resorts, Limited designs, develops, and operates integrated resorts. The company operates through four segments: Wynn Palace, Wynn Macau, Las Vegas Operations, and Encore Boston Harbor. The Wynn Palace segment operates private gaming salons and sky casinos; a luxury hotel tower with suites, and villas, including a health club, spa, salon, and pool; food and beverage outlets; retail space; meeting and convention space; and performance lake and floral art displays. The Wynn Macau segment operates casino space with private gaming salons, sky casinos, and a poker room; a luxury hotel tower, that include health clubs, spas, a salon, and a pool; food and beverage outlets; retail space; meeting and convention space; and Chinese zodiac-inspired ceiling attractions. The Las Vegas Operations segment operates casino space with private gaming salons, a sky casino, a poker room, and a race and sports book; a luxury hotel tower with suites, and villas, including swimming pools, private cabanas, full-service spas and salons, and a wedding chapel; food and beverage outlets; meeting and convention space; retail space; and theaters, nightclubs, a beach club. The Encore Boston Harbor segment operates casino space with gaming areas, and a poker room; a luxury hotel tower including a spa and salon; food and beverage outlets and a nightclub; retail space; meeting and convention space; and a waterfront park, floral displays, and water shuttle service. Wynn Resorts, Limited was incorporated in 2002 and is based in Las Vegas, Nevada.

About Hilton Grand Vacations

Hilton Grand Vacations Inc., a timeshare company, develops, markets, sells, manages, and operates the resorts, plans and ancillary reservation services under the Hilton Grand Vacations brand. It operates through Real Estate Sales and Financing, and Resort Operations and Club Management segments. Real Estate Sales and Financing segment market and sells the VOIs, and source VOIs through fee-for-service agreements with third-party developers; and provides consumer financing and services loans. Resort Operations and Club Management segment manages and operates the clubs which offers exchange, leisure travel, and reservation services, as well as engages in the rental of inventory made available due to ownership exchanges through its club programs, and provides ancillary services including food and beverage, retail and spa at timeshare properties. Hilton Grand Vacations Inc. was founded in 1992 and is headquartered in Orlando, Florida.