Analyzing BBX Capital (NYSE:BBX) & Retail Value (NYSE:RVI)

BBX Capital (NYSE:BBX) and Retail Value (NYSE:RVI) are both small-cap finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, risk, valuation, institutional ownership, profitability, dividends and analyst recommendations.

Profitability

This table compares BBX Capital and Retail Value’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
BBX Capital -1.28% 2.19% 0.77%
Retail Value 14.79% 4.73% 2.08%

Earnings and Valuation

This table compares BBX Capital and Retail Value’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
BBX Capital $946.87 million 0.18 $17.69 million $0.19 9.21
Retail Value $239.10 million 0.99 $46.75 million $2.46 4.85

Retail Value has lower revenue, but higher earnings than BBX Capital. Retail Value is trading at a lower price-to-earnings ratio than BBX Capital, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

28.6% of BBX Capital shares are owned by institutional investors. Comparatively, 69.3% of Retail Value shares are owned by institutional investors. 32.8% of BBX Capital shares are owned by insiders. Comparatively, 0.2% of Retail Value shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent recommendations for BBX Capital and Retail Value, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
BBX Capital 0 0 2 0 3.00
Retail Value 0 1 0 0 2.00

BBX Capital currently has a consensus target price of $6.50, indicating a potential upside of 271.43%. Retail Value has a consensus target price of $38.00, indicating a potential upside of 218.79%. Given BBX Capital’s stronger consensus rating and higher probable upside, analysts plainly believe BBX Capital is more favorable than Retail Value.

Risk and Volatility

BBX Capital has a beta of 1.64, indicating that its stock price is 64% more volatile than the S&P 500. Comparatively, Retail Value has a beta of 2.12, indicating that its stock price is 112% more volatile than the S&P 500.

Summary

Retail Value beats BBX Capital on 9 of the 14 factors compared between the two stocks.

About BBX Capital

BBX Capital Corporation, formerly known as BFC Financial Corporation, is a private equity and venture capital firm specializing in investments and acquisitions of middle market companies. The firm also invests in mergers and acquisition, add-on acquisitions, divestiture, taking public companies private and private companies public, leveraged buyout, partnership, recapitalization, and restructuring. It typically does not invest in industries or companies whose ultimate returns are event driven. The firm seeks to invest across a broad range of industries ranging from service to manufacturing businesses. The firm prefers to acquire controlling interests in its portfolio companies and can also consider minority investments. BFC Financial Corporation was founded in 1980 and is based in Fort Lauderdale, Florida.

About Retail Value

RVI is an independent publicly traded company trading under the ticker symbol “RVI” on the New York Stock Exchange. RVI holds assets in the continental U.S. and Puerto Rico and is managed by one or more subsidiaries of SITE Centers Corp. RVI focuses on realizing value in its business through operations and sales of its assets.

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