Axfood AB (publ) (AXFOY) vs. Its Peers Critical Review

Axfood AB (publ) (OTCMKTS:AXFOY) is one of 63 public companies in the “Grocery Stores” industry, but how does it compare to its competitors? We will compare Axfood AB (publ) to similar companies based on the strength of its analyst recommendations, institutional ownership, valuation, earnings, risk, profitability and dividends.

Dividends

Axfood AB (publ) pays an annual dividend of $4.91 per share and has a dividend yield of 18.6%. Axfood AB (publ) pays out 48.0% of its earnings in the form of a dividend. As a group, “Grocery Stores” companies pay a dividend yield of 4.2% and pay out 63.2% of their earnings in the form of a dividend. Axfood AB (publ) is clearly a better dividend stock than its competitors, given its higher yield and lower payout ratio.

Profitability

This table compares Axfood AB (publ) and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Axfood AB (publ)	N/A	N/A	N/A
Axfood AB (publ) Competitors	1.20%	13.44%	4.13%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Axfood AB (publ) and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Axfood AB (publ)	1	0	0	0	1.00
Axfood AB (publ) Competitors	1140	2808	3040	120	2.30

As a group, “Grocery Stores” companies have a potential upside of 12.78%. Given Axfood AB (publ)’s competitors stronger consensus rating and higher probable upside, analysts clearly believe Axfood AB (publ) has less favorable growth aspects than its competitors.

Valuation & Earnings

This table compares Axfood AB (publ) and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Axfood AB (publ)	N/A	N/A	2.58
Axfood AB (publ) Competitors	$28.95 billion	$608.65 million	288.55

Axfood AB (publ)’s competitors have higher revenue and earnings than Axfood AB (publ). Axfood AB (publ) is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Institutional and Insider Ownership

40.7% of shares of all “Grocery Stores” companies are held by institutional investors. 24.1% of shares of all “Grocery Stores” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Axfood AB (publ) competitors beat Axfood AB (publ) on 11 of the 13 factors compared.

Axfood AB (publ) Company Profile

Axfood AB (publ) engages in the food retail and wholesale businesses in Sweden. It operates through Willys, Hemköp, Dagab, and Snabbgross segments. The company sells groceries through Willys, Hemköp, Eurocash, and Mat.se store chains. It is also involved in the e-commerce business; and provision of private label products. In addition, it offers home delivery of meal kits under the Middagsfrid name, as well as operates Urban Deli, a combination of restaurant and market hall; and Apohem, an online pharmacy. The company serves restaurants, fastfood operators, and cafés; and retailer-owned stores, mini-marts, service stations, and other convenience retailers. Axfood AB (publ) was founded in 1958 and is headquartered in Stockholm, Sweden. Axfood AB (publ) is a subsidiary of Axel Johnson AB.