Contrasting GreenTree Hospitality Group (NYSE:GHG) & Civeo (NYSE:CVEO)

GreenTree Hospitality Group (NYSE:GHG) and Civeo (NYSE:CVEO) are both small-cap consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, risk, institutional ownership, profitability, analyst recommendations, valuation and dividends.

Profitability

This table compares GreenTree Hospitality Group and Civeo’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GreenTree Hospitality Group	N/A	N/A	N/A
Civeo	-5.25%	-12.76%	-6.69%

Institutional and Insider Ownership

8.1% of GreenTree Hospitality Group shares are owned by institutional investors. Comparatively, 81.4% of Civeo shares are owned by institutional investors. 88.7% of GreenTree Hospitality Group shares are owned by insiders. Comparatively, 4.7% of Civeo shares 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.

Earnings & Valuation

This table compares GreenTree Hospitality Group and Civeo”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GreenTree Hospitality Group	$184.05 million	1.08	$15.07 million	$0.43	4.56
Civeo	$682.12 million	0.40	-$17.07 million	($2.43)	-8.99

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

Volatility & Risk

GreenTree Hospitality Group has a beta of 0.52, suggesting that its share price is 48% less volatile than the S&P 500. Comparatively, Civeo has a beta of 1.2, suggesting that its share price is 20% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and recommmendations for GreenTree Hospitality Group and Civeo, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GreenTree Hospitality Group	1	0	0	0	1.00
Civeo	2	0	1	0	1.67

Civeo has a consensus price target of $27.00, indicating a potential upside of 23.59%. Given Civeo’s stronger consensus rating and higher possible upside, analysts plainly believe Civeo is more favorable than GreenTree Hospitality Group.

Summary

GreenTree Hospitality Group beats Civeo on 8 of the 14 factors compared between the two stocks.

About GreenTree Hospitality Group

GreenTree Hospitality Group Ltd., through its subsidiaries, develops leased-and-operated, and franchised-and-managed hotels under the GreenTree Inns brand in the People's Republic of China. It also engages in investment holding activities; and provision of information technology services. The company was founded in 2004 and is headquartered in Shanghai, the People's Republic of China.

About Civeo

Civeo Corporation provides hospitality services to the natural resource industry in Canada, Australia, and the United States. The company develops lodges and villages; and mobile assets, including modular, skid-mounted accommodation, and central facilities that provide short to medium-term accommodation needs. It offers food, housekeeping, and maintenance services, as well as laundry, facility management and maintenance, water and wastewater treatment, power generation, communication systems, security, and logistics services, and camp management services. In addition, the company provides development activities for workforce accommodation facilities, including site selection, permitting, engineering and design, manufacturing management, and site construction services, as well as lodging and catering services. It serves oil, mining, engineering, and oilfield and mining service companies. Civeo Corporation was founded in 1977 and is headquartered in Houston, Texas.