Comparing RB Global (NYSE:RBA) and CompoSecure (NASDAQ:CMPO)

RB Global (NYSE:RBA) and CompoSecure (NASDAQ:CMPO) are both business services companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, institutional ownership, risk, profitability, earnings and valuation.

Volatility & Risk

RB Global has a beta of 0.75, meaning that its share price is 25% less volatile than the S&P 500. Comparatively, CompoSecure has a beta of 0.94, meaning that its share price is 6% less volatile than the S&P 500.

Insider and Institutional Ownership

95.4% of RB Global shares are held by institutional investors. Comparatively, 37.6% of CompoSecure shares are held by institutional investors. 0.3% of RB Global shares are held by company insiders. Comparatively, 52.1% of CompoSecure shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for RB Global and CompoSecure, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RB Global	0	3	4	0	2.57
CompoSecure	0	1	6	0	2.86

RB Global currently has a consensus price target of $119.7857, indicating a potential upside of 2.11%. CompoSecure has a consensus price target of $17.0714, indicating a potential downside of 4.95%. Given RB Global’s higher possible upside, equities analysts clearly believe RB Global is more favorable than CompoSecure.

Earnings & Valuation

This table compares RB Global and CompoSecure”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RB Global	$4.28 billion	5.08	$413.10 million	$2.02	58.07
CompoSecure	$420.57 million	4.37	-$53.72 million	($1.68)	-10.69

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

Profitability

This table compares RB Global and CompoSecure’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RB Global	9.46%	9.42%	4.18%
CompoSecure	-24.53%	-59.26%	25.43%

Summary

RB Global beats CompoSecure on 9 of the 14 factors compared between the two stocks.

About RB Global

RB Global, Inc., an omnichannel marketplace, provides insights, services, and transaction solutions for buyers and sellers of commercial assets and vehicles worldwide. Its marketplace brands include Ritchie Bros., an auctioneer of commercial assets and vehicles offering online bidding; IAA, a digital marketplace connecting vehicle buyers and sellers; Rouse Services, which provides asset management, data-driven intelligence, and performance benchmarking system; SmartEquip, a technology platform that supports customers' management of the equipment lifecycle; and Veritread, an online marketplace for heavy haul transport solution. The company's brands include GovPlanet, an online marketplace for the sale of government and military assets; RB Auction, an onsite and online marketplace for selling and buying used equipment; IronPlanet, an online marketplace for selling and buying used equipment; Marketplace-E, an online solution that make offers/buy now format; Rouse Appraisals, a certified appraisal service solution; Ritchie List Mascus, an online equipment listing service and B2B dealer portal; CSAToday, an online reporting and analysis tool that gives sellers the ability to manage their vehicle assets and monitor sales performance; and Catastrophe Response Services. In addition, it offers title, data, transportation and logistics, refurbishing, inspection, and financial services. It serves customers across various asset classes, including automotive, commercial transportation, construction, government surplus, lifting and material handling, energy, mining, and agriculture. RB Global, Inc. was founded in 1958 and is headquartered in Westchester, Illinois.

About CompoSecure

CompoSecure, Inc. manufactures and designs metal, composite, and proprietary financial transaction cards in the United States and internationally. Its primary metal form factors include embedded, metal veneer lite, metal veneer, and full metal products. The company also offers Arculus Cold Storage Wallet, a three-factor authentication solution, which supports specific digital assets, including Bitcoin, Ethereum, non-fungible tokens and others. In addition, it offers Payments + Arculus Secure Authenticate, white-labeled cold storage wallet, Payments + Arculus Cold Storage, and Payments + Arculus Authentication + Arculus Cold Storage. The company serves financial institutions, plastic card manufacturers, system integrators, and security specialists. CompoSecure, Inc. was founded in 1910 and is based in Somerset, New Jersey.