Head to Head Survey: Euronet Worldwide (NASDAQ:EEFT) vs. Loomis (OTCMKTS:LOIMF)

by · The Cerbat Gem

Loomis (OTCMKTS:LOIMF – Get Free Report) and Euronet Worldwide (NASDAQ:EEFT – Get Free Report) are both mid-cap finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, dividends, earnings, analyst recommendations, profitability, institutional ownership and risk.

Profitability

This table compares Loomis and Euronet Worldwide’s net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Loomis6.06%15.08%4.90%
Euronet Worldwide6.63%28.60%5.67%

Institutional & Insider Ownership

91.6% of Euronet Worldwide shares are held by institutional investors. 12.2% of Euronet Worldwide shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and price targets for Loomis and Euronet Worldwide, as provided by MarketBeat.com.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Loomis01002.00
Euronet Worldwide13302.29

Euronet Worldwide has a consensus target price of $94.00, suggesting a potential upside of 48.03%. Given Euronet Worldwide’s stronger consensus rating and higher probable upside, analysts clearly believe Euronet Worldwide is more favorable than Loomis.

Valuation and Earnings

This table compares Loomis and Euronet Worldwide”s top-line revenue, earnings per share and valuation.

Gross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Loomis$3.11 billion1.02$161.68 million$2.9616.05
Euronet Worldwide$4.24 billion0.57$309.50 million$6.379.97

Euronet Worldwide has higher revenue and earnings than Loomis. Euronet Worldwide is trading at a lower price-to-earnings ratio than Loomis, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Loomis has a beta of -0.86, indicating that its stock price is 186% less volatile than the S&P 500. Comparatively, Euronet Worldwide has a beta of 0.85, indicating that its stock price is 15% less volatile than the S&P 500.

Summary

Euronet Worldwide beats Loomis on 12 of the 14 factors compared between the two stocks.

About Loomis

(Get Free Report)

Loomis AB (publ) provides solutions for the distribution, payments, handling, storage, and recycling of cash and other valuables. The company offers a range of solutions for cash in transit, cash management services, foreign exchange services, automated teller machines, automated solutions, and international valuables logistics, as well as operates Loomis Pay, a payment service that enables processing of various types of payment methods, such as card, cash, and digital alternatives. It serves financial institutions, banks, retailers, commercial enterprises, and other customers, as well as public sector in Sweden, the United States, France, Switzerland, Spain, the United Kingdom, and internationally. Loomis AB (publ) was founded in 1852 and is headquartered in Stockholm, Sweden.

About Euronet Worldwide

(Get Free Report)

Euronet Worldwide, Inc. provides payment and transaction processing and distribution solutions to financial institutions, retailers, service providers, and individual consumers worldwide. It operates through three segments: Electronic Fund Transfer Processing, epay, and Money Transfer. The Electronic Fund Transfer Processing segment provides electronic payment solutions, including automated teller machine (ATM) cash withdrawal and deposit services, ATM network participation, outsourced ATM and point-of-sale (POS) management solutions, credit and debit and prepaid card outsourcing, card issuing, and merchant acquiring services. It also offers ATM and POS currency conversion, ATM surcharge, advertising, customer relationship management, mobile top-up, bill payment, fraud management, foreign remittance and cardless payout, banknote recycling, and tax-refund services; and integrated electronic financial transaction software solutions for electronic payment and transaction delivery systems. The epay segment distributes and processes prepaid mobile airtime and other electronic payment products; and provides payment processing services for various prepaid products, cards, and services, as well as vouchers and physical gift fulfillment, and gift card distribution and processing services. This segment operates a network of approximately 821,000 POS terminals. The Money Transfer segment offers consumer-to-consumer and account-to-account money transfer, customers bill payment, check cashing, foreign currency exchange, mobile top-up, and cash management and foreign currency risk management services, as well as payment alternatives, such as money orders and prepaid debit cards. The company was formerly known as Euronet Services, Inc. and changed its name to Euronet Worldwide, Inc. in August 2001. Euronet Worldwide, Inc. was founded in 1994 and is headquartered in Leawood, Kansas.