Head-To-Head Analysis: DHL Group (DHLGY) vs. The Competition

DHL Group (OTCMKTS:DHLGY) is one of 45 public companies in the “TRANS – SERVICES” industry, but how does it compare to its peers? We will compare DHL Group to similar companies based on the strength of its earnings, profitability, valuation, institutional ownership, dividends, analyst recommendations and risk.

Dividends

DHL Group pays an annual dividend of $1.46 per share and has a dividend yield of 3.1%. DHL Group pays out 46.9% of its earnings in the form of a dividend. As a group, “TRANS – SERVICES” companies pay a dividend yield of 2.9% and pay out 47.0% of their earnings in the form of a dividend. DHL Group is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Insider and Institutional Ownership

55.5% of shares of all “TRANS – SERVICES” companies are held by institutional investors. 23.1% of shares of all “TRANS – SERVICES” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Volatility & Risk

DHL Group has a beta of 1.24, indicating that its stock price is 24% more volatile than the S&P 500. Comparatively, DHL Group’s peers have a beta of 0.94, indicating that their average stock price is 6% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
DHL Group	3.98%	14.42%	4.90%
DHL Group Competitors	2.85%	-6.69%	2.80%

Valuation and Earnings

This table compares DHL Group and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
DHL Group	$91.11 billion	$3.61 billion	14.96
DHL Group Competitors	$9.45 billion	$184.70 million	14.15

DHL Group has higher revenue and earnings than its peers. DHL Group is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Analyst Ratings

This is a summary of current ratings for DHL Group and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DHL Group	2	1	0	1	2.00
DHL Group Competitors	364	1332	1507	90	2.40

As a group, “TRANS – SERVICES” companies have a potential downside of 2.48%. Given DHL Group’s peers stronger consensus rating and higher possible upside, analysts clearly believe DHL Group has less favorable growth aspects than its peers.

Summary

DHL Group beats its peers on 10 of the 15 factors compared.

DHL Group Company Profile

Deutsche Post AG operates as a mail and logistics company in Germany, rest of Europe, the Americas, the Asia Pacific, the Middle East, and Africa. The company operates through five segments: Express; Global Forwarding, Freight; Supply Chain; eCommerce Solutions; and Post & Parcel Germany. The Express segment offers time-definite courier and express services to business and private customers. The Global Forwarding, Freight segment provides air, ocean, and overland freight forwarding services; and offers multimodal and sector-specific solutions. This segment's business model is based on brokering transport services between customers and freight carriers. The Supply Chain segment delivers customized supply chain solutions to its customers based on modular components, including warehousing and transport services; and value-added services, such as e-fulfilment, omnichannel solutions and returns management, lead logistics partner, real estate solutions, service logistics, and packaging solutions for various industrial sectors. The eCommerce Solutions segment provides parcel delivery and cross-border non-time definite international services. The Post & Parcel Germany segment transports and delivers mail communication, parcels, physical and hybrid letters, and special products for the delivery of goods; and offers additional services, such as registered mail, cash on delivery, and insured items. Deutsche Post AG was founded in 1490 and is headquartered in Bonn, Germany.