Analyzing ANA (OTCMKTS:ALNPY) & International Consolidated Airlines Group (OTCMKTS:ICAGY)

ANA (OTCMKTS:ALNPY) and International Consolidated Airlines Group (OTCMKTS:ICAGY) are both industrials companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, valuation, risk, dividends, profitability and analyst recommendations.

Profitability

This table compares ANA and International Consolidated Airlines Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ANA	6.27%	12.15%	4.36%
International Consolidated Airlines Group	9.21%	129.76%	23.00%

Risk & Volatility

ANA has a beta of 0.46, indicating that its share price is 54% less volatile than the S&P 500. Comparatively, International Consolidated Airlines Group has a beta of 1.63, indicating that its share price is 63% more volatile than the S&P 500.

Dividends

ANA pays an annual dividend of $0.05 per share and has a dividend yield of 1.2%. International Consolidated Airlines Group pays an annual dividend of $0.18 per share and has a dividend yield of 1.5%. ANA pays out 12.2% of its earnings in the form of a dividend. International Consolidated Airlines Group pays out 4.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. International Consolidated Airlines Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Institutional & Insider Ownership

0.0% of International Consolidated Airlines Group shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares ANA and International Consolidated Airlines Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ANA	$16.87 billion	0.57	$1.12 billion	$0.41	10.10
International Consolidated Airlines Group	$37.57 billion	0.69	$3.78 billion	$3.82	3.09

International Consolidated Airlines Group has higher revenue and earnings than ANA. International Consolidated Airlines Group is trading at a lower price-to-earnings ratio than ANA, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for ANA and International Consolidated Airlines Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ANA	0	2	0	1	2.67
International Consolidated Airlines Group	0	1	3	0	2.75

Summary

International Consolidated Airlines Group beats ANA on 13 of the 15 factors compared between the two stocks.

About ANA

ANA Holdings Inc., together with its subsidiaries, provides air transportation services in Japan and internationally. It operates through Air Transportation, Aviation-Related Business, Travel Business, and Trading Business segments. The Air Transportation segment offers regular and irregular air transport of passengers, cargo, etc. on domestic and international routes. The Aviation-Related Business segment provides services incidental to air transportation, such as airport handling and maintenance. The Travel Business develops and sells travel products, as well as plans and sells package travel products. The Trading Business imports and exports aviation-related materials, as well as sells through stores and mail-order channels. The company was formerly known as All Nippon Airways Co., Ltd. and changed its name to ANA Holdings Inc. in April 2013. ANA Holdings Inc. was incorporated in 1920 and is headquartered in Minato, Japan.

About International Consolidated Airlines Group

International Consolidated Airlines Group S.A., together with its subsidiaries, engages in the provision of passenger and cargo transportation services in the United Kingdom, Spain, the United States, and rest of the world. It also provides aircraft leasing, aircraft maintenance, tour operation, air freight operations, call centre, ground handling, trustee, retail, IT, finance, procurement, storage and custody, aircraft technical assistance, human resources support, and airport infrastructure development services; and manages airline loyalty programmes. The company operates under the British Airways, Iberia, Vueling, Aer Lingus, and LEVEL brands. It operates a fleet of 582 aircrafts. The company was incorporated in 2009 and is headquartered in Harmondsworth, United Kingdom.