Corporacion America (NYSE: CAAP) and Grupo Aeroportuario Centro Norte (NASDAQ:OMAB) are both small-cap transportation companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, valuation, earnings, profitability, analyst recommendations, dividends and risk.
Insider and Institutional Ownership
Get Corporacion America alerts:10.4% of Corporacion America shares are owned by institutional investors. Comparatively, 16.7% of Grupo Aeroportuario Centro Norte shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.
Analyst Ratings
This is a breakdown of recent recommendations and price targets for Corporacion America and Grupo Aeroportuario Centro Norte, as provided by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Corporacion America | 0 | 0 | 0 | 0 | N/A |
Grupo Aeroportuario Centro Norte | 1 | 0 | 3 | 0 | 2.50 |
Grupo Aeroportuario Centro Norte has a consensus target price of $46.00, suggesting a potential upside of 19.54%. Given Grupo Aeroportuario Centro Norte’s higher probable upside, analysts clearly believe Grupo Aeroportuario Centro Norte is more favorable than Corporacion America.
Dividends
Grupo Aeroportuario Centro Norte pays an annual dividend of $1.41 per share and has a dividend yield of 3.7%. Corporacion America does not pay a dividend. Grupo Aeroportuario Centro Norte pays out 64.4% of its earnings in the form of a dividend.
Valuation and Earnings
This table compares Corporacion America and Grupo Aeroportuario Centro Norte’s gross revenue, earnings per share (EPS) and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Corporacion America | $1.58 billion | 1.18 | $63.49 million | $0.47 | 24.79 |
Grupo Aeroportuario Centro Norte | $378.07 million | 4.38 | $108.30 million | $2.19 | 17.57 |
Grupo Aeroportuario Centro Norte has lower revenue, but higher earnings than Corporacion America. Grupo Aeroportuario Centro Norte is trading at a lower price-to-earnings ratio than Corporacion America, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Corporacion America and Grupo Aeroportuario Centro Norte’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Corporacion America | N/A | N/A | N/A |
Grupo Aeroportuario Centro Norte | 31.13% | 33.76% | 16.91% |
Summary
Grupo Aeroportuario Centro Norte beats Corporacion America on 10 of the 13 factors compared between the two stocks.
Corporacion America Company Profile
Corporaci贸n Am茅rica Airports S.A. acquires, develops, and operates airport concessions. It operates 51 airports in Latin America, Europe, and Eurasia. The company was formerly knwona as A.C.I. Airports International S.� r.l. The company was founded in 1998 and is based in Luxembourg. Corporaci贸n Am茅rica Airports S.A. is a subsidiary of A.C.I. Airports S.� r.l.
Grupo Aeroportuario Centro Norte Company Profile
Grupo Aeroportuario del Centro Norte, S. A. B. de C. V., through its subsidiaries, holds concessions to develop, operate, and maintain airports in Mexico. It also operates NH Collection Hotel in Terminal 2 of the Mexico City International Airport; and a hotel under the Hilton Garden Inn name at the Monterrey Airport. The company operates 13 international airports in Monterrey, Acapulco, Mazatl谩n, Zihuatanejo, Chihuahua, Culiac谩n, Durango, San Luis Potos铆, Tampico, Torre贸n, Zacatecas, Ciudad Ju谩rez, and Reynosa cities. In addition, it provides aeronautical services, which include passenger, aircraft landing and parking, passenger walkway, and airport security services. Further, the company offers non-aeronautical services that comprise leasing of space at its airports to retailers, restaurants, airlines, and other commercial tenants, as well as operation of parking facilities; and complementary services, such as baggage-screening, non-permanent ground transportation, and access rights services. Additionally, it provides construction services. Grupo Aeroportuario del Centro Norte, S. A. B. de C. V. has a strategic alliance with VYNMSA Desarrollo Inmobiliario, S.A. de C.V. to build and operate an industrial park at the Monterrey airport. The company is headquartered in San Pedro Garza Garc铆a, Mexico. Grupo Aeroportuario del Centro Norte, S. A. B. de C. V. is a subsidiary of Controladora de Operaciones de Infraestructa, S.A. de C.V.