Critical Review: United Parcel Service (NYSE:UPS) vs. Prosegur Cash (OTCMKTS:PGUUF)

Prosegur Cash (OTCMKTS:PGUUF) and United Parcel Service (NYSE:UPS) are both industrials companies, but which is the better business? We will contrast the two companies based on the strength of their valuation, profitability, risk, analyst recommendations, dividends, earnings and institutional ownership.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Prosegur Cash and United Parcel Service, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Prosegur Cash	0	0	0	0	0.00
United Parcel Service	2	10	8	1	2.38

United Parcel Service has a consensus target price of $117.41, indicating a potential upside of 12.21%. Given United Parcel Service’s stronger consensus rating and higher possible upside, analysts clearly believe United Parcel Service is more favorable than Prosegur Cash.

Valuation and Earnings

This table compares Prosegur Cash and United Parcel Service”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Prosegur Cash	N/A	N/A	N/A	N/A	N/A
United Parcel Service	$89.93 billion	0.99	$5.57 billion	$5.38	19.45

United Parcel Service has higher revenue and earnings than Prosegur Cash.

Profitability

This table compares Prosegur Cash and United Parcel Service’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Prosegur Cash	N/A	N/A	N/A
United Parcel Service	5.08%	37.50%	8.21%

Insider & Institutional Ownership

60.3% of United Parcel Service shares are owned by institutional investors. 0.2% of United Parcel Service shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Summary

United Parcel Service beats Prosegur Cash on 10 of the 10 factors compared between the two stocks.

About Prosegur Cash

Prosegur Cash, S.A. provides cash cycle management solutions and automating payments in retail establishments, ATM management for financial institutions, retail establishments, business, government agencies, central banks, mints, and jewellery stores. The company provides national and international transport services, including collection, transport, custody, and deposit services for funds and other valuables that include jewellery, artworks, precious metals, electronic devices, voting ballots, and legal evidence. It offers cash processing and automation services, such as counting, processing, and packaging, as well as coin recycling, cash flow control, and monitoring systems; ATM solutions comprising planning, loading, monitoring, first- and second-tier maintenance, and balancing services; collection and payment management; foreign exchange currency services; and cash planning and forecasting services for financial institutions. In addition, the company offers self-service cash machines that provide cash deposit, recycling, and bank notes and coins dispensing services; cryptocurrency custody services; and added-value outsourcing services for banks, such as multiagency, cheque processing, and related administrative services, as well as teller outsourcing service. It serves in Spain, Portugal, Germany, Luxembourg, the United Kingdom, Sweden, Finland, Denmark, Iceland, the Netherlands, Italy, the Czech Republic, Cyprus, France, Austria, the United States, New Zealand, Argentina, Brazil, Chile, Peru, Uruguay, Paraguay, Colombia, the Philippines, Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica, Ecuador, Mexico, India, Singapore, Indonesia, and Australia. The company was incorporated in 2016 and is headquartered in Madrid, Spain. Prosegur Cash, S.A. is a subsidiary of Prosegur Compañía de Seguridad, S.A.

About United Parcel Service

United Parcel Service, Inc., a package delivery company, provides transportation and delivery, distribution, contract logistics, ocean freight, airfreight, customs brokerage, and insurance services. It operates through two segments, U.S. Domestic Package and International Package. The U.S. Domestic Package segment offers time-definite delivery of express letters, documents, small packages, and palletized freight through air and ground services in the United States. The International Package segment provides guaranteed day and time-definite international shipping services comprising guaranteed time-definite express options in Europe, Asia, the Indian sub-continent, the Middle East, Africa, Canada, and Latin America. The company also offers international air and ocean freight forwarding, post-sales, and mail and consulting services. In addition, it provides truckload and customs brokerage services; supply chain solutions to the healthcare and life sciences industries; fulfillment and transportation management services; and integrated supply chain and shipment insurance solutions. United Parcel Service, Inc. was founded in 1907 and is headquartered in Atlanta, Georgia.