Critical Survey: TH International (NASDAQ:THCH) & Dine Brands Global (NYSE:DIN)

TH International (NASDAQ:THCHGet Free Report) and Dine Brands Global (NYSE:DINGet Free Report) are both small-cap retail/wholesale companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, risk, earnings, dividends, valuation, profitability and analyst recommendations.

Volatility and Risk

TH International has a beta of 0.35, indicating that its share price is 65% less volatile than the S&P 500. Comparatively, Dine Brands Global has a beta of 1.73, indicating that its share price is 73% more volatile than the S&P 500.

Earnings & Valuation

This table compares TH International and Dine Brands Global’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
TH International $1.59 billion 0.08 -$123.81 million ($0.74) -1.01
Dine Brands Global $823.54 million 0.71 $97.18 million $5.62 6.76

Dine Brands Global has lower revenue, but higher earnings than TH International. TH International is trading at a lower price-to-earnings ratio than Dine Brands Global, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings and recommmendations for TH International and Dine Brands Global, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
TH International 0 0 0 0 N/A
Dine Brands Global 0 2 5 0 2.71

Dine Brands Global has a consensus target price of $58.57, suggesting a potential upside of 54.26%. Given Dine Brands Global’s higher possible upside, analysts clearly believe Dine Brands Global is more favorable than TH International.

Insider & Institutional Ownership

91.8% of TH International shares are held by institutional investors. Comparatively, 92.8% of Dine Brands Global shares are held by institutional investors. 3.0% of Dine Brands Global shares are held by 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.

Profitability

This table compares TH International and Dine Brands Global’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
TH International -53.46% -1,859.11% -20.48%
Dine Brands Global 10.59% -35.31% 5.49%

Summary

Dine Brands Global beats TH International on 12 of the 13 factors compared between the two stocks.

About TH International

(Get Free Report)

TH International Limited operates Tim Hortons coffee shops in mainland China, Hong Kong, and Macau. The company offers brewed tea, coffee, milk tea, lemonade, hot chocolate, and coffee drinks. It is also involved in franchise related business. The company is based in Shanghai, the People's Republic of China.

About Dine Brands Global

(Get Free Report)

Dine Brands Global, Inc., together with its subsidiaries, owns, franchises, and operates restaurants in the United States and internationally. The company operates through six segments: Applebee's Franchise Operations, International House of Pancakes (IHOP) Franchise Solutions, Fuzzy's franchise operations, Rental Operations, Financing Operations, and Company-Operated Restaurant Operations. It owns and franchises three restaurant concepts, including Applebee's Neighborhood Grill + Bar within the casual dining category; and IHOP in the family dining category of the restaurant industry; Fuzzy's Taco Shop within the fast-casual dining category. In addition, its Applebee's restaurants offer American fare with drinks and local draft beers; IHOP restaurants provide full table services, food and beverage; and Fuzzy's Taco Shop offers baja-style mexican food like baja tacos, chips and queso, guacamole and salsa made in house, and a full bar including margaritas, and cold draft beer. The company was formerly known as DineEquity, Inc. and changed its name to Dine Brands Global, Inc. in February 2018. Dine Brands Global, Inc. was founded in 1958 and is headquartered in Pasadena, California.

Receive News & Ratings for TH International Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for TH International and related companies with MarketBeat.com's FREE daily email newsletter.