Financial Survey: Lagardere (LGDDF) versus Its Rivals

Insider & Institutional Ownership

25.5% of Lagardere shares are owned by institutional investors. Comparatively, 48.8% of shares of all “Hotels, Restaurants & Leisure” companies are owned by institutional investors. 22.0% of shares of all “Hotels, Restaurants & Leisure” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Lagardere and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lagardere	N/A	N/A	N/A
Lagardere Competitors	-11.41%	-21.91%	2.00%

Dividends

Lagardere pays an annual dividend of $1.30 per share and has a dividend yield of 6.4%. Lagardere pays out -79.6% of its earnings in the form of a dividend. As a group, “Hotels, Restaurants & Leisure” companies pay a dividend yield of 3.4% and pay out 45.0% of their earnings in the form of a dividend. Lagardere is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Earnings and Valuation

This table compares Lagardere and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Lagardere	N/A	N/A	-12.44
Lagardere Competitors	$3.33 billion	$246.76 million	4.60

Lagardere’s peers have higher revenue and earnings than Lagardere. Lagardere is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Lagardere peers beat Lagardere on 5 of the 9 factors compared.

About Lagardere

Lagardere SA engages in content publishing, production, broadcasting, and distribution businesses in France and internationally. It operates through two divisions: Lagardère Publishing, and Lagardère Travel Retail. The Lagardère Publishing division includes book publishing and e-publishing businesses, which cover the areas of education, general literature, illustrated books, partworks, dictionaries, children and youth adult, mobile games, board games, and stationery and distribution in English, French, and Spanish languages. The Lagardère Travel Retail division involved in retail activities in transit areas and concessions in travel essentials, duty free and fashion, and food services fields. It operates through stores under its own international store names, such as Relay, Hubiz, 1Minute, Hub Convenience, Discover, Tech2go, Aelia Duty Free, The Fashion Gallery, The Fashion Place, Eye Love, So Chocolate, Bread&Co., Hello!, So! Coffee, Trib's, Vino Volo, Natoo, etc., as well as store names with a local identity comprising BuY Paris Duty Free, Casa Del Gusto, and The Belgian Chocolate House. It also operates stores under franchises or licenses, with retail partners that include TripAdvisor, Fnac, iStore, Marks & Spencer, Hermès, Victoria's Secret, Nespresso, Costa Coffee, Burger King, Dean & Deluca, Eric Kayser, and Paul. The company was formerly known as Lagardère SCA and changed its name to Lagardere SA in June 2021. The company was founded in 1826 and is headquartered in Paris, France. As of November 21, 2023, Lagardere SA operates as a subsidiary of Vivendi SE.