Head to Head Contrast: Greenhill & Co. (GHL) & Its Peers

Greenhill & Co. (NYSE: GHL) is one of 31 publicly-traded companies in the “Security brokers & dealers” industry, but how does it compare to its competitors? We will compare Greenhill & Co. to related businesses based on the strength of its valuation, profitability, institutional ownership, earnings, dividends, risk and analyst recommendations.

Profitability

Get Greenhill & Co. alerts:

This table compares Greenhill & Co. and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Greenhill & Co. -7.24% -0.09% -0.05%
Greenhill & Co. Competitors 7.28% 6.00% 6.21%

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Greenhill & Co. and its competitors, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Greenhill & Co. 3 3 0 0 1.50
Greenhill & Co. Competitors 328 1403 1466 71 2.39

Greenhill & Co. currently has a consensus target price of $14.83, indicating a potential downside of 38.58%. As a group, “Security brokers & dealers” companies have a potential upside of 7.65%. Given Greenhill & Co.’s competitors stronger consensus rating and higher possible upside, analysts clearly believe Greenhill & Co. has less favorable growth aspects than its competitors.

Institutional & Insider Ownership

99.6% of Greenhill & Co. shares are owned by institutional investors. Comparatively, 63.4% of shares of all “Security brokers & dealers” companies are owned by institutional investors. 8.3% of Greenhill & Co. shares are owned by company insiders. Comparatively, 22.0% of shares of all “Security brokers & dealers” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk & Volatility

Greenhill & Co. has a beta of 1.09, indicating that its share price is 9% more volatile than the S&P 500. Comparatively, Greenhill & Co.’s competitors have a beta of 8.99, indicating that their average share price is 799% more volatile than the S&P 500.

Valuation and Earnings

This table compares Greenhill & Co. and its competitors top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Greenhill & Co. $239.18 million -$26.65 million -86.25
Greenhill & Co. Competitors $5.89 billion $737.83 million 23.48

Greenhill & Co.’s competitors have higher revenue and earnings than Greenhill & Co.. Greenhill & Co. is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Dividends

Greenhill & Co. pays an annual dividend of $0.20 per share and has a dividend yield of 0.8%. Greenhill & Co. pays out -71.4% of its earnings in the form of a dividend. As a group, “Security brokers & dealers” companies pay a dividend yield of 1.6% and pay out 35.0% of their earnings in the form of a dividend.

Summary

Greenhill & Co. competitors beat Greenhill & Co. on 13 of the 15 factors compared.

Greenhill & Co. Company Profile

Greenhill & Co., Inc., together with its subsidiaries, operates as an independent investment bank for corporations, partnerships, institutions, and governments worldwide. The company provides financial advisory services primarily related to mergers and acquisitions, restructurings, financings, and capital raisings. It is also involved in the provision of advisory services to clients in relation to divestitures, spin-offs, and other strategic transactions, as well as various stages of these transactions ranging from initial structuring to final execution. In addition, the company advises clients on strategic matters, such as activist response, defensive tactics, special committee projects, licensing deals, joint ventures, valuation, negotiation tactics, industry dynamics, structuring alternatives, and timing and pricing of transactions, as well as financing alternatives. Further, it advises debtors, creditors, governments, pension funds, and other stakeholders in companies experiencing financial distress, as well as potential acquirers of distressed companies and assets. Additionally, the company assists the clients in identifying and capitalizing on potential incremental sources of value, as well as who seek court-assisted reorganizations by developing and seeking approval for plans of reorganization. It advises on capital structures and sales or recapitalizations; other financing matters, including debt issuances, equity financings, and exchange offers; and initial public offerings and other equity capital market transactions. The company also assists general partners and sponsors in raising capital for new private funds; and provides related advisory services to pension funds, sovereign wealth funds, endowments, and other institutional investors, as well as on primary and secondary market transactions, and real estate funds. Greenhill & Co., Inc. was founded in 1996 and is headquartered in New York, New York.