Sumitomo (OTCMKTS:SSUMY) and Benev Capital (OTCMKTS:BEVFF) Head to Head Comparison

Sumitomo (OTCMKTS:SSUMY) and Benev Capital (OTCMKTS:BEVFF) are both multi-sector conglomerates companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, institutional ownership, risk, valuation, dividends and profitability.

Dividends

Sumitomo pays an annual dividend of $0.77 per share and has a dividend yield of 2.6%. Benev Capital pays an annual dividend of $0.20 per share and has a dividend yield of 8.1%. Sumitomo pays out 22.7% of its earnings in the form of a dividend. Benev Capital pays out 166.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Sumitomo and Benev Capital, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sumitomo	0	0	0	2	4.00
Benev Capital	0	1	0	0	2.00

Risk and Volatility

Sumitomo has a beta of 0.53, meaning that its share price is 47% less volatile than the S&P 500. Comparatively, Benev Capital has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500.

Profitability

This table compares Sumitomo and Benev Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sumitomo	8.34%	12.52%	5.24%
Benev Capital	41.88%	11.86%	5.83%

Earnings and Valuation

This table compares Sumitomo and Benev Capital”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sumitomo	$47.89 billion	0.74	$3.75 billion	$3.39	8.58
Benev Capital	$47.44 million	8.86	$19.43 million	$0.12	20.60

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

Summary

Sumitomo beats Benev Capital on 7 of the 13 factors compared between the two stocks.

About Sumitomo

Sumitomo Corporation engages in general trading business worldwide. It operates through six segments: Metal Products; Transportation & Construction Systems; Infrastructure; Media & Digital; Living Related & Real Estate; and Mineral Resources, Energy, Chemical & Electronics. The company provides steel sheets and tubular products; and manufactures, leases, sells, services, and finances ships, aircrafts, motor vehicles, construction equipment, and components and parts. It is involved in the development of renewable energy projects comprising power generation and power plant engineering, procurement, and construction activities; electricity retail; industrial facilities and equipment, water, transportation systems and infrastructure, airports, smart city project, environmental solutions, and storage battery businesses; development and operation of industrial parks; arranging insurance; and provision of logistics services. In addition, the company engages in the cable television, 5G related technologies, programming distribution, movies, digital media and video content, TV shopping, and e-commerce businesses; cell phone, ICT platform, digital solution, and venture capital businesses; provision of smart communications infrastructure; operation of food supermarkets and drugstore chains; trade of cement and building materials; and real estate businesses. Further, it develops and trades in coal, iron ore, manganese, uranium, non-ferrous and precious metals, petroleum, natural gas and liquefied natural gas, and commodity derivative transactions; trades in non-ferrous metal products, liquefied petroleum gas, storage batteries, carbon products, plastics, organic and inorganic chemicals, silicon wafers, LEDs, pharmaceuticals, agricultural chemicals, household insecticides, fertilizers, and veterinary drugs; engages in the investing activities; and provides electronics manufacturing services. Sumitomo Corporation was incorporated in 1919 and is headquartered in Tokyo, Japan.

About Benev Capital

Diversified Royalty Corp., a multi-royalty corporation, engages in the acquisition of royalties from multi-location businesses and franchisors in North America. It owns the Sutton, Mr. Lube + Tires, AIR MILES, Mr. Mikes, Nurse Next Door, Oxford Learning Centres, Stratus Building Solutions, and BarBurrito trademarks. The company was formerly known as BENEV Capital Inc. and changed its name to Diversified Royalty Corp. in September 2014. Diversified Royalty Corp. was founded in 1960 and is headquartered in Vancouver, Canada.