Meridian (NASDAQ:MRDN – Get Free Report) and Vail Resorts (NYSE:MTN – Get Free Report) are both consumer discretionary companies, but which is the better stock? We will contrast the two companies based on the strength of their earnings, institutional ownership, profitability, analyst recommendations, risk, valuation and dividends.
Risk and Volatility
Meridian has a beta of 0.65, indicating that its stock price is 35% less volatile than the S&P 500. Comparatively, Vail Resorts has a beta of 0.7, indicating that its stock price is 30% less volatile than the S&P 500.
Profitability
This table compares Meridian and Vail Resorts’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Meridian | -41.41% | -117.87% | -58.87% |
| Vail Resorts | 5.38% | 21.88% | 2.67% |
Analyst Ratings
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Meridian | 1 | 0 | 0 | 0 | 1.00 |
| Vail Resorts | 3 | 7 | 5 | 0 | 2.13 |
Meridian currently has a consensus target price of $21.60, indicating a potential upside of 55.28%. Vail Resorts has a consensus target price of $149.83, indicating a potential upside of 9.64%. Given Meridian’s higher possible upside, equities analysts clearly believe Meridian is more favorable than Vail Resorts.
Earnings & Valuation
This table compares Meridian and Vail Resorts”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Meridian | $182.86 million | 0.96 | -$89.90 million | ($6.74) | -2.06 |
| Vail Resorts | $2.96 billion | 1.64 | $280.00 million | $4.40 | 31.06 |
Vail Resorts has higher revenue and earnings than Meridian. Meridian is trading at a lower price-to-earnings ratio than Vail Resorts, indicating that it is currently the more affordable of the two stocks.
Insider and Institutional Ownership
2.7% of Meridian shares are owned by institutional investors. Comparatively, 94.9% of Vail Resorts shares are owned by institutional investors. 24.0% of Meridian shares are owned by company insiders. Comparatively, 1.2% of Vail Resorts shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.
Summary
Vail Resorts beats Meridian on 12 of the 14 factors compared between the two stocks.
About Meridian
Meridian Holdings Inc is engaged in the online gaming and betting business, providing sports betting, online casino, and gaming operations across multiple jurisdictions in Europe, Africa, and Central and South America. The company has three reportable segments: MeridianBet Group, GMAG, and RKings & CFAC. The MeridianBet Group segment includes retail and online sports betting, casinos, and related gaming operations. The GMAG segment focuses on the resale of third-party gaming content, mainly serving customers in the Asia-Pacific region. The RKings & CFAC segment is involved in pay-to-enter prize competitions and trade promotions conducted in the United Kingdom and Australia. It generates the majority of its revenue from the MeridianBet Group segment.
About Vail Resorts
Vail Resorts, Inc., through its subsidiaries, operates mountain resorts and regional ski areas in the United States. It operates through three segments: Mountain, Lodging, and Real Estate. The Mountain segment operates 41 destination mountain resorts and regional ski areas. This segment is also involved in the ancillary activities, including ski school, dining, and retail/rental operations, as well as real estate brokerage activities. The Lodging segment owns and/or manages various luxury hotels and condominiums under the RockResorts brand; other lodging properties; various condominiums located in proximity to the company's mountain resorts; destination resorts; and golf courses, as well as offers resort ground transportation services. This segment operates owned and managed hotel and condominium units. The Real Estate segment owns, develops, and sells real estate properties. The company was founded in 1845 and is based in Broomfield, Colorado.
Receive News & Ratings for Meridian Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Meridian and related companies with MarketBeat.com's FREE daily email newsletter.
