Financial Comparison: Flight Centre (OTCMKTS:FGETF) versus OneSpaWorld (NASDAQ:OSW)

OneSpaWorld (NASDAQ:OSW) and Flight Centre (OTCMKTS:FGETF) are both consumer discretionary companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, institutional ownership, valuation, dividends, analyst recommendations, earnings and profitability.

Valuation & Earnings

This table compares OneSpaWorld and Flight Centre”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
OneSpaWorld	$936.08 million	2.41	$72.86 million	$0.71	30.90
Flight Centre	$1.80 billion	0.99	$70.90 million	N/A	N/A

OneSpaWorld has higher earnings, but lower revenue than Flight Centre.

Institutional and Insider Ownership

96.0% of OneSpaWorld shares are held by institutional investors. 3.9% of OneSpaWorld shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares OneSpaWorld and Flight Centre’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OneSpaWorld	7.90%	16.38%	12.27%
Flight Centre	N/A	N/A	N/A

Risk & Volatility

OneSpaWorld has a beta of 1.29, meaning that its share price is 29% more volatile than the S&P 500. Comparatively, Flight Centre has a beta of -0.16, meaning that its share price is 116% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for OneSpaWorld and Flight Centre, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OneSpaWorld	0	0	7	1	3.13
Flight Centre	0	0	1	0	3.00

OneSpaWorld currently has a consensus target price of $24.60, indicating a potential upside of 12.13%. Given OneSpaWorld’s stronger consensus rating and higher possible upside, research analysts clearly believe OneSpaWorld is more favorable than Flight Centre.

Summary

OneSpaWorld beats Flight Centre on 12 of the 13 factors compared between the two stocks.

About OneSpaWorld

OneSpaWorld Holdings Limited operates health and wellness centers onboard cruise ships and at destination resorts worldwide. Its health and wellness centers offer services, such as traditional body, salon, and skin care services and products; self-service fitness facilities, specialized fitness classes, and personal fitness training; pain management, detoxifying programs, and body composition analyses; weight management programs and products; and medi-spa services. The company also provides its guests access to beauty and wellness brands, including ELEMIS, Grown Alchemist, Kérastase, Dysport, Restylane, Thermage, CoolSculpting, truSculpt 3D, truSculpt iD, Good Feet, and Hyperice with various brands offered in the cruise market. The company is based in Nassau, Bahamas.

About Flight Centre

Flight Centre Travel Group Limited provides travel retailing services for the leisure and corporate sectors in Australia, New Zealand, the Americas, Europe, the Middle East, Africa, Asia, and internationally. The company offers leisure travel services for the niche sectors, as well as mass, youth, premium, and cruise markets; and corporate travel services for organizations of various sizes across industries, as well as supplies products to its national and international network, or travel retail outlets. It also provides tour operations, hotel management, and destination management services. In addition, the company offers other travel related services, including foreign currency exchange and travel academies; recruitment marketing and bike retailing; and employee benefit services. It provides its services primarily under the Flight Centre brand, as well as other travel brands, such as Student Flights, Travel Associates, Liberty Travel, Infinity Holidays, GOGO Vacations, FCm Travel Solutions, Corporate Traveller, Stage and Screen, and cievents. The company was formerly known as Flight Centre Limited and changed its name to Flight Centre Travel Group Limited in November 2013. The company was incorporated in 1987 and is headquartered in South Brisbane, Australia.