Analyzing Secom (OTCMKTS:SOMLY) and Mitie Group (OTCMKTS:MITFY)

Mitie Group (OTCMKTS:MITFY) and Secom (OTCMKTS:SOMLY) are both business services companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, earnings, profitability, dividends, analyst recommendations, risk and institutional ownership.

Institutional and Insider Ownership

0.2% of Mitie Group shares are owned by institutional investors. 0.8% of Mitie Group shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current recommendations for Mitie Group and Secom, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mitie Group	0	1	0	1	3.00
Secom	0	0	0	0	0.00

Dividends

Mitie Group pays an annual dividend of $0.25 per share and has a dividend yield of 2.9%. Secom pays an annual dividend of $0.12 per share and has a dividend yield of 1.4%.

Profitability

This table compares Mitie Group and Secom’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mitie Group	N/A	N/A	N/A
Secom	N/A	N/A	N/A

Volatility and Risk

Mitie Group has a beta of 1.16, suggesting that its share price is 16% more volatile than the S&P 500. Comparatively, Secom has a beta of 0.44, suggesting that its share price is 56% less volatile than the S&P 500.

Valuation and Earnings

This table compares Mitie Group and Secom”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mitie Group	$6.48 billion	0.44	$129.38 million	N/A	N/A
Secom	$7.88 billion	2.03	$713.52 million	N/A	N/A

Secom has higher revenue and earnings than Mitie Group.

Summary

Mitie Group beats Secom on 6 of the 9 factors compared between the two stocks.

About Mitie Group

Mitie Group plc, together with its subsidiaries, provides facilities management and professional services in the United Kingdom and internationally. The company operates in four segments: Business Services, Technical Services, Central Government & Defense (CG&D), Communities. The company provides decarbonization, electrical grid connections, emission intelligence, energy and carbon, EV fleets, and heat solutions, as well as solar energy; cleaning and hygiene, engineering maintenance, integrated facilities management, landscape, and waste management services; project and workplace services; and Fire & security systems, front of house, intelligence, vetting, and security guarding service. It serves to financial, professional, life science, manufacturing, media, telecom and tech, retail, shopping centres, transport, utilities, central and local government, critical environment, defence, education, healthcare, and justice and immigration sectors. The company was incorporated in 1936 and is headquartered in London, the United Kingdom.

About Secom

SECOM CO., LTD., together with its subsidiaries, provides security services in Japan and internationally. The company operates through Security Services, Fire Protection Services, Medical Services, Insurance Services, Geospatial Information Services, BPO and ICT Services, and Other Services. The Security Services segment offers static guard, armored car, merchandise, and other services, as well as online security systems. The Fire Protection Services segment provides fire alarm systems, fire extinguishing systems, and maintenance services to office buildings, production facilities, tunnels, cultural properties, ships, and residences. The Medical Services segment offers home nursing, pharmaceutical dispensing, home delivery services, health and preventative care services, and personal and outpatient care services; and cloud-based medical reporting services and SECOM LINKus application. This segment also operates the general hospital and residences for seniors; and sells medical equipment and pharmaceuticals. The Insurance Services Segment provides fire insurance, automobile insurance, and cancer treatment insurance services. The Geospatial Information Services segment offers geospatial information services to public-sector entities, such as national and local governments; private sector customers; and overseas government agencies. The BPO and ICT Services segment provides contact centers and back office support services, data center, disaster preparedness, information security, and cloud-based services, as well as SaaS solutions. The Other Services segment offers real estate leasing, construction, and installation services. The company was incorporated in 1962 and is headquartered in Tokyo, Japan.