Head to Head Survey: TriNet Group (NYSE:TNET) vs. FTI Consulting (NYSE:FCN)

FTI Consulting (NYSE:FCN) and TriNet Group (NYSE:TNET) are both mid-cap industrials companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, valuation, dividends, profitability, risk, analyst recommendations and institutional ownership.

Institutional and Insider Ownership

99.4% of FTI Consulting shares are held by institutional investors. Comparatively, 96.8% of TriNet Group shares are held by institutional investors. 1.8% of FTI Consulting shares are held by company insiders. Comparatively, 40.0% of TriNet Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares FTI Consulting and TriNet Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FTI Consulting	$3.79 billion	1.08	$270.87 million	$8.27	17.94
TriNet Group	$5.01 billion	0.65	$155.00 million	$3.74	18.86

FTI Consulting has higher earnings, but lower revenue than TriNet Group. FTI Consulting is trading at a lower price-to-earnings ratio than TriNet Group, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

FTI Consulting has a beta of -0.06, meaning that its stock price is 106% less volatile than the S&P 500. Comparatively, TriNet Group has a beta of 0.99, meaning that its stock price is 1% less volatile than the S&P 500.

Profitability

This table compares FTI Consulting and TriNet Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FTI Consulting	6.44%	15.91%	7.35%
TriNet Group	3.58%	227.28%	6.04%

Analyst Ratings

This is a summary of recent ratings and target prices for FTI Consulting and TriNet Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FTI Consulting	1	1	0	0	1.50
TriNet Group	1	5	1	0	2.00

FTI Consulting currently has a consensus price target of $174.50, indicating a potential upside of 17.58%. TriNet Group has a consensus price target of $56.80, indicating a potential downside of 19.46%. Given FTI Consulting’s higher possible upside, equities analysts plainly believe FTI Consulting is more favorable than TriNet Group.

About FTI Consulting

FTI Consulting, Inc. provides business advisory services to manage change, mitigate risk, and resolve disputes worldwide. The company operates through Corporate Finance & Restructuring, Forensic and Litigation Consulting, Economic Consulting, Technology, and Strategic Communications segments. The Corporate Finance & Restructuring segment provides business transformation and strategy, transactions, and turnaround and restructuring services. The Forensic and Litigation Consulting segment offers construction and environmental solutions, data and analytics, disputes, health solutions, and risk and investigation services. The Economic Consulting segment provides antitrust and competition economics, financial economics, and international arbitration services. The Technology segment offers corporate legal department consulting; e-discovery and expertise; and information governance, privacy, and security services. The Strategic Communications segment provides corporate reputation, financial communications, and public affairs services. It serves aerospace and defense, airlines and aviation, blockchain and digital assets, chemicals, construction and environmental solutions, energy, financial services, food and agriculture, healthcare and life sciences, hospitality, gaming and leisure, automotive and industrial, insurance, mining, private equity, power and renewable, public sector and government contracts, real estate, retail and consumer products, telecom, media and technology, and transportation and logistics sectors. FTI Consulting, Inc. was incorporated in 1982 and is headquartered in Washington, the District of Columbia.

About TriNet Group

TriNet Group, Inc. provides comprehensive and flexible human capital management services for small and medium size businesses in the United States. The company offers multi-state payroll processing and tax administration; employee benefits programs, including health insurance and retirement plans; workers compensation insurance and claims management; employment and benefits law compliance; and other HR related services. It also provides technology platform, an online and mobile tool that allows users to store, view, and manager HR information and administer various HR transactions, such as payroll processing, tax administration and credits, employee onboarding and termination, employee performance, time and attendance, compensation reporting, expense management, and benefits enrollment and administration, as well as incorporated workforce analytics and allows professional employer organization clients to generate HR data, payroll, compensation, and other custom reports. The company serves clients in various industries, including technology, professional services, financial services, life sciences, and not-for-profit. It sells its solutions through its direct sales organization. TriNet Group, Inc. was incorporated in 1988 and is headquartered in Dublin, California.