United Parks & Resorts (NYSE:PRKS – Get Free Report) and Caesars Entertainment (NASDAQ:CZR – Get Free Report) are both mid-cap consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their valuation, earnings, dividends, risk, profitability, analyst recommendations and institutional ownership.
Volatility & Risk
United Parks & Resorts has a beta of 1.28, meaning that its stock price is 28% more volatile than the S&P 500. Comparatively, Caesars Entertainment has a beta of 2.03, meaning that its stock price is 103% more volatile than the S&P 500.
Profitability
This table compares United Parks & Resorts and Caesars Entertainment’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| United Parks & Resorts | 10.83% | -44.47% | 6.88% |
| Caesars Entertainment | -2.12% | -5.76% | -0.75% |
Valuation and Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| United Parks & Resorts | $1.73 billion | 1.19 | $227.50 million | $3.27 | 11.52 |
| Caesars Entertainment | $11.25 billion | 0.38 | -$278.00 million | ($1.15) | -18.00 |
United Parks & Resorts has higher earnings, but lower revenue than Caesars Entertainment. Caesars Entertainment is trading at a lower price-to-earnings ratio than United Parks & Resorts, indicating that it is currently the more affordable of the two stocks.
Institutional and Insider Ownership
91.8% of Caesars Entertainment shares are held by institutional investors. 1.2% of United Parks & Resorts shares are held by company insiders. Comparatively, 1.0% of Caesars Entertainment shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
Analyst Ratings
This is a breakdown of current ratings and price targets for United Parks & Resorts and Caesars Entertainment, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| United Parks & Resorts | 2 | 7 | 4 | 0 | 2.15 |
| Caesars Entertainment | 2 | 5 | 12 | 1 | 2.60 |
United Parks & Resorts presently has a consensus target price of $50.82, indicating a potential upside of 34.96%. Caesars Entertainment has a consensus target price of $34.61, indicating a potential upside of 67.20%. Given Caesars Entertainment’s stronger consensus rating and higher probable upside, analysts plainly believe Caesars Entertainment is more favorable than United Parks & Resorts.
Summary
Caesars Entertainment beats United Parks & Resorts on 8 of the 15 factors compared between the two stocks.
About United Parks & Resorts
United Parks & Resorts, Inc. is a holding company, which engages in the ownership and operation of theme parks. Its portfolio includes SeaWorld, Busch Gardens, Aquatica, Discovery Cove, Sesame Place, and Sea Rescue. The company was founded in 1959 and is headquartered in Orlando, FL.
About Caesars Entertainment
Caesars Entertainment, Inc. operates as a gaming and hospitality company. The company owns, leases, or manages domestic properties in 18 states with slot machines, video lottery terminals and e-tables, and hotel rooms, as well as table games, including poker. It also operates and conducts retail and online sports wagering across 31 jurisdictions in North America and operates iGaming in five jurisdictions in North America; sports betting from our retail and online sportsbooks; and other games, such as keno. In addition, the company operates dining venues, bars, nightclubs, lounges, hotels, and entertainment venues; and provides staffing and management services. Caesars Entertainment, Inc. was founded in 1937 and is based in Reno, Nevada.
Receive News & Ratings for United Parks & Resorts Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for United Parks & Resorts and related companies with MarketBeat.com's FREE daily email newsletter.
