Contrasting Royal Olympic Cruise Lines (OTCMKTS:ROCLF) and Marriott Vacations Worldwide (NYSE:VAC)

Royal Olympic Cruise Lines (OTCMKTS:ROCLF) and Marriott Vacations Worldwide (NYSE:VAC) are both consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, risk, profitability, institutional ownership, earnings, analyst recommendations and valuation.

Profitability

This table compares Royal Olympic Cruise Lines and Marriott Vacations Worldwide’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Royal Olympic Cruise Lines	N/A	N/A	N/A
Marriott Vacations Worldwide	3.44%	11.44%	2.83%

Valuation & Earnings

This table compares Royal Olympic Cruise Lines and Marriott Vacations Worldwide”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Royal Olympic Cruise Lines	N/A	N/A	N/A	N/A	N/A
Marriott Vacations Worldwide	$4.97 billion	0.46	$218.00 million	$4.46	14.65

Marriott Vacations Worldwide has higher revenue and earnings than Royal Olympic Cruise Lines.

Institutional & Insider Ownership

89.5% of Marriott Vacations Worldwide shares are owned by institutional investors. 64.1% of Royal Olympic Cruise Lines shares are owned by company insiders. Comparatively, 1.6% of Marriott Vacations Worldwide shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Royal Olympic Cruise Lines and Marriott Vacations Worldwide, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Royal Olympic Cruise Lines	0	0	0	0	0.00
Marriott Vacations Worldwide	4	1	4	0	2.00

Marriott Vacations Worldwide has a consensus price target of $63.38, suggesting a potential downside of 3.03%. Given Royal Olympic Cruise Lines’ higher possible upside, analysts clearly believe Royal Olympic Cruise Lines is more favorable than Marriott Vacations Worldwide.

Summary

Marriott Vacations Worldwide beats Royal Olympic Cruise Lines on 7 of the 9 factors compared between the two stocks.

About Royal Olympic Cruise Lines

Royal Olympic Cruise Lines, Inc. engages in the ownership, operation, and management of a fleet of cruise ships. The company also provides services under management agreements for other cruise vessels, for which a management fee is charged. Its fleet, in 2002, consisted of seven overnight cruise ships, ranging in capacity from approximately 450 to 836 passengers. The geographical areas served by the company include the eastern and western Mediterranean, South and Central America, the Caribbean, South Africa, and the Far East. Its competitors include Costa Crociere SpA, Mediterranean Shipping Cruises Limited, P&O Cruises Limited, and Holland America. The company was founded in 1938 and is based in Piraeus, Greece.

About Marriott Vacations Worldwide

Marriott Vacations Worldwide Corporation, a vacation company, develops, markets, sells, and manages vacation ownership and related businesses, products, and services in the United States and internationally. It operates through two segments, Vacation Ownership and Exchange & Third-Party Management. The company manages vacation ownership and related products under the Marriott Vacation Club, Grand Residences by Marriott, Sheraton Vacation Club, Westin Vacation Club, Hyatt Vacation Club, and Marriott Vacation Club Pulse brands. It develops, markets, and sells vacation ownership and related products under The Ritz-Carlton Destination Club brand; and holds right to develop, market, and sell ownership residential products under The Ritz-Carlton Residences brand. In addition, the company offers exchange networks and membership programs, as well as provision of management services to other resorts and lodging properties through Interval International, and Aqua-Aston business brands. Further, it provides financing consumer purchases of vacation ownership products, and renting vacation ownership inventory. The company sells its upscale tier vacation ownership products primarily through a network of resort-based sales centers and off-site sales locations. The company was founded in 1984 and is headquartered in Orlando, Florida.