Head-To-Head Review: GFL Environmental (NYSE:GFL) vs. Brambles (OTCMKTS:BXBLY)

GFL Environmental (NYSE:GFL) and Brambles (OTCMKTS:BXBLY) are both large-cap industrials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, risk, analyst recommendations, profitability, valuation, dividends and institutional ownership.

Dividends

GFL Environmental pays an annual dividend of $0.07 per share and has a dividend yield of 0.2%. Brambles pays an annual dividend of $0.88 per share and has a dividend yield of 3.2%. GFL Environmental pays out -13.2% of its earnings in the form of a dividend. GFL Environmental has raised its dividend for 5 consecutive years.

Institutional & Insider Ownership

64.7% of GFL Environmental shares are owned by institutional investors. Comparatively, 0.0% of Brambles shares are owned by institutional investors. 8.7% of GFL Environmental shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings for GFL Environmental and Brambles, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GFL Environmental	2	2	11	0	2.60
Brambles	1	1	1	0	2.00

GFL Environmental currently has a consensus price target of $54.25, suggesting a potential upside of 24.96%. Brambles has a consensus price target of $19.34, suggesting a potential downside of 29.80%. Given GFL Environmental’s stronger consensus rating and higher probable upside, analysts clearly believe GFL Environmental is more favorable than Brambles.

Profitability

This table compares GFL Environmental and Brambles’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GFL Environmental	-3.28%	4.14%	1.55%
Brambles	N/A	N/A	N/A

Earnings and Valuation

This table compares GFL Environmental and Brambles”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GFL Environmental	$4.73 billion	3.31	$2.74 billion	($0.53)	-81.92
Brambles	$7.04 billion	2.61	$954.00 million	N/A	N/A

GFL Environmental has higher earnings, but lower revenue than Brambles.

Risk & Volatility

GFL Environmental has a beta of 0.68, meaning that its stock price is 32% less volatile than the S&P 500. Comparatively, Brambles has a beta of 0.66, meaning that its stock price is 34% less volatile than the S&P 500.

Summary

GFL Environmental beats Brambles on 12 of the 15 factors compared between the two stocks.

About GFL Environmental

GFL Environmental Inc. offers non-hazardous solid waste management and environmental services in Canada and the United States. It offers solid waste management, liquid waste management, and soil remediation services, including collection, transportation, transfer, recycling, and disposal services for municipal, residential, and commercial, and industrial customers. The company was incorporated in 2007 and is headquartered in Vaughan, Canada.

About Brambles

Brambles Limited operates as a supply-chain logistics company. It operates through CHEP North America and Latin America; CHEP Europe, Middle East, Africa and India; and CHEP Australia, New Zealand and Asia, excluding India segments. The company engages in the pooling of unit-load equipment and associated services, focusing on the outsourced management of pallets, crates, and containers. It serves customers in the fast-moving consumer goods, fresh produce, beverage, retail, and general manufacturing industries. Brambles Limited was founded in 1875 and is based in Sydney, Australia.