Contrasting Best Buy (BBY) and Yosen Group (YOSN)

Best Buy (NYSE:BBY) and Yosen Group (OTCMKTS:YOSN) are both retail/wholesale companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, dividends, earnings, profitability, valuation, institutional ownership and analyst recommendations.

Dividends

Best Buy pays an annual dividend of $1.80 per share and has a dividend yield of 2.7%. Yosen Group does not pay a dividend. Best Buy pays out 40.7% of its earnings in the form of a dividend. Best Buy has raised its dividend for 6 consecutive years.

Earnings and Valuation

This table compares Best Buy and Yosen Group’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Best Buy $42.15 billion 0.43 $1.00 billion $4.42 15.03
Yosen Group N/A N/A N/A N/A N/A

Best Buy has higher revenue and earnings than Yosen Group.

Institutional & Insider Ownership

85.2% of Best Buy shares are owned by institutional investors. 0.8% of Best Buy shares are owned by insiders. Comparatively, 16.6% of Yosen Group 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.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Best Buy and Yosen Group, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Best Buy 2 10 4 0 2.13
Yosen Group 0 0 0 0 N/A

Best Buy currently has a consensus price target of $78.93, suggesting a potential upside of 18.82%. Given Best Buy’s higher possible upside, equities research analysts clearly believe Best Buy is more favorable than Yosen Group.

Profitability

This table compares Best Buy and Yosen Group’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Best Buy 2.44% 40.28% 11.15%
Yosen Group N/A N/A N/A

Summary

Best Buy beats Yosen Group on 9 of the 11 factors compared between the two stocks.

About Best Buy

Best Buy Co., Inc. operates as a retailer of technology products, services, and solutions in the United States, Canada, and Mexico. The company operates in two segments, Domestic and International. Its stores provide consumer electronics, including digital imaging, health and fitness, home automation, home theater, and portable audio products; computing and mobile phones, such as computing and peripherals, networking products, tablets, smart watches, and e-readers, as well as mobile phones comprising related mobile network carrier commissions; and entertainment products, including drones, movies, music, and technology toys, as well as gaming hardware and software, and virtual reality and other software products. The company's stores also offer appliances, which comprise dishwashers, laundry appliances, ovens, refrigerators, blenders, coffee makers, etc.; and other products, such as beverages, snacks, and sundry items, as well as baby products, luggage, and sporting goods. In addition, it provides services comprising consultation, design, delivery, installation, set-up, protection plan, repair, technical support, and educational services. The company offers its products through stores and Websites under the Best Buy, bestbuy.com, Best Buy Mobile, Best Buy Direct, Best Buy Express, Geek Squad, Magnolia Home Theater, Pacific Kitchen and Home, bestbuy.ca, and bestbuy.com.mx brand names, as well as through mobile applications and call centers. It has approximately 1,200 large-format and 300 small-format stores. The company was formerly known as Sound of Music, Inc. Best Buy Co., Inc. was founded in 1966 and is headquartered in Richfield, Minnesota.

About Yosen Group

Yosen Group, Inc., through its subsidiary, focuses on franchising or operating restaurants. The company was formerly known as China 3C Group and changed its name to Yosen Group, Inc. in December 2012. Yosen Group, Inc. was founded in 1998 and is headquartered in Zhuhai, China.

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