Financial Survey: ZTE (OTCMKTS:ZTCOY) and L’Oreal (OTC:LRLCY)

ZTE (OTCMKTS:ZTCOYGet Free Report) and L’Oreal (OTC:LRLCYGet Free Report) are both computer and technology companies, but which is the better stock? We will contrast the two companies based on the strength of their profitability, valuation, risk, analyst recommendations, institutional ownership, earnings and dividends.

Insider & Institutional Ownership

0.4% of L’Oreal shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares ZTE and L’Oreal”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
ZTE $17.75 billion 0.53 $1.06 billion $0.47 8.60
L’Oreal $47.06 billion 4.73 $6.94 billion N/A N/A

L’Oreal has higher revenue and earnings than ZTE.

Profitability

This table compares ZTE and L’Oreal’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
ZTE 5.89% 13.25% 4.04%
L’Oreal N/A N/A N/A

Dividends

ZTE pays an annual dividend of $0.07 per share and has a dividend yield of 1.7%. L’Oreal pays an annual dividend of $1.12 per share and has a dividend yield of 1.3%. ZTE pays out 14.9% of its earnings in the form of a dividend.

Risk and Volatility

ZTE has a beta of 0.77, indicating that its share price is 23% less volatile than the S&P 500. Comparatively, L’Oreal has a beta of 0.93, indicating that its share price is 7% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and target prices for ZTE and L’Oreal, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
ZTE 0 0 0 0 0.00
L’Oreal 0 1 0 0 2.00

Summary

L’Oreal beats ZTE on 7 of the 11 factors compared between the two stocks.

About ZTE

(Get Free Report)

ZTE Corporation provides integrated communication information solutions in the People's Republic of China, rest of Asia, Africa, Europe, the United States, and Oceania. It operates through three segments: Carriers' Networks, Government and Corporate Business, and Consumer Business. The Carriers' Network segment provides wireless access, wireline access, bearer systems, core networks, telecommunication software systems and services, and other technologies and product solutions for meeting carries' requirements. The Consumer Business segment offers smart phones, mobile data terminals, family terminals, and fusion terminals, as well as related software application and value-added services. The Government and Corporate Business segment focuses on providing informatization solutions for the government and corporations through the application of products, such as communications networks, Internet of Things, big data, and cloud computing. The company was founded in 1985 and is headquartered in Shenzhen, the People's Republic of China.

About L’Oreal

(Get Free Report)

At L’Or?al, they have made cosmetics the focus of all their energy and know-how for nearly a century. They are fully committed to putting their expertise and research resources to work for the well-being of men and women, in all their diversity, around the world.

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