Analyzing Cato (NYSE:CATO) & Christian Dior S.E. (OTCMKTS:CHDRY)

Cato (NYSE:CATO) and Christian Dior S.E. (OTCMKTS:CHDRY) are both retail/wholesale companies, but which is the better business? We will compare the two businesses based on the strength of their risk, profitability, earnings, dividends, institutional ownership, analyst recommendations and valuation.

Profitability

This table compares Cato and Christian Dior S.E.’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cato	-1.38%	-5.46%	-2.04%
Christian Dior S.E.	N/A	N/A	N/A

Dividends

Cato pays an annual dividend of $0.51 per share and has a dividend yield of 16.6%. Christian Dior S.E. pays an annual dividend of $2.54 per share and has a dividend yield of 1.8%. Cato pays out -102.0% of its earnings in the form of a dividend.

Volatility & Risk

Cato has a beta of 0.6, suggesting that its stock price is 40% less volatile than the S&P 500. Comparatively, Christian Dior S.E. has a beta of 1.11, suggesting that its stock price is 11% more volatile than the S&P 500.

Earnings and Valuation

This table compares Cato and Christian Dior S.E.”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cato	$660.06 million	0.09	-$18.06 million	($0.50)	-6.14
Christian Dior S.E.	$91.40 billion	N/A	$5.13 billion	N/A	N/A

Christian Dior S.E. has higher revenue and earnings than Cato.

Analyst Ratings

This is a breakdown of recent ratings for Cato and Christian Dior S.E., as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cato	1	0	0	0	1.00
Christian Dior S.E.	0	0	0	0	0.00

Institutional and Insider Ownership

61.1% of Cato shares are held by institutional investors. 18.1% of Cato shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Summary

Christian Dior S.E. beats Cato on 6 of the 11 factors compared between the two stocks.

About Cato

The Cato Corporation, together with its subsidiaries, operates as a specialty retailer of fashion apparel and accessories primarily in the southeastern United States. It operates through two segments, Retail and Credit. The company's stores and e-commerce websites offer a range of apparel and accessories, including dressy, career, and casual sportswear; and dresses, coats, shoes, lingerie, costume jewelry, and handbags, as well as men's wear, and lines for kids and infants. It operates its stores and e-commerce websites under the Cato, Cato Fashions, Cato Plus, It's Fashion, It's Fashion Metro, and Versona names. It also provides credit card services to its customers, as well as layaway plans for customers. The Cato Corporation was incorporated in 1946 and is headquartered in Charlotte, North Carolina.

About Christian Dior S.E.

Christian Dior SE, through its subsidiaries, engages in the production, distribution, and retail of fashion and leather goods, wines and spirits, perfumes and cosmetics, and watches and jewelry worldwide. The company offers its fashion and leather goods under the Louis Vuitton, Fendi, Celine, Loewe, Givenchy, Kenzo, Berluti, Pucci, Loro Piana, Rimowa, and Off-White brand names; and wines and spirits under the Hennessy, Moët & Chandon, Dom Pérignon, Veuve Clicquot, Krug, Château d'Yquem, Belvedere, Glenmorangie, Newton Vineyards, Bodega Numanthia, Château d'Esclans, Armand de Brignac, and Joseph Phelps brands. It also provides perfumes and cosmetics under the Parfums Christian Dior, Guerlain, Parfums Givenchy, Make Up For Ever, Benefit Cosmetics, Fresh, Acqua di Parma, KVD Vegan Beauty, Fenty, Ole Henriksen, Maison Francis Kurkdjian, and Officine Universelle Buly 1803 brand names; and watches and jewelry under the Tiffany, Bulgari, TAG Heuer, Zenith, Hublot, Chaumet, Fred, and Repossi brands. In addition, the company operates retail stores under the DFS Galleria, Sephora, and Le Bon Marché names; publishes Le Parisien-Aujourd'hui en France, a daily newspaper; builds yachts; and operates hotel and the Cova pastry shop brand. Further, it is involved in real estate activities. The company sells its products through store network, including e-commerce websites; and agents and distributors. The company was incorporated in 1946 and is headquartered in Paris, France. Christian Dior SE (ENXTPA:CDI) operates as a subsidiary of Financière Agache Société Anonyme.