Comparing Ingles Markets (NASDAQ:IMKTA) and J. Sainsbury (OTCMKTS:JSAIY)

Ingles Markets (NASDAQ:IMKTA) and J. Sainsbury (OTCMKTS:JSAIY) are both retail/wholesale companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, earnings, risk, analyst recommendations, institutional ownership, dividends and valuation.

Earnings and Valuation

This table compares Ingles Markets and J. Sainsbury”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ingles Markets	$5.64 billion	0.22	$105.54 million	$2.97	21.66
J. Sainsbury	$41.86 billion	0.22	$308.77 million	N/A	N/A

J. Sainsbury has higher revenue and earnings than Ingles Markets.

Dividends

Ingles Markets pays an annual dividend of $0.66 per share and has a dividend yield of 1.0%. J. Sainsbury pays an annual dividend of $1.01 per share and has a dividend yield of 6.2%. Ingles Markets pays out 22.2% of its earnings in the form of a dividend.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Ingles Markets and J. Sainsbury, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ingles Markets	0	0	0	0	0.00
J. Sainsbury	0	3	0	3	3.00

Institutional and Insider Ownership

62.5% of Ingles Markets shares are owned by institutional investors. 22.8% of Ingles Markets shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk and Volatility

Ingles Markets has a beta of 0.74, meaning that its stock price is 26% less volatile than the S&P 500. Comparatively, J. Sainsbury has a beta of 1.16, meaning that its stock price is 16% more volatile than the S&P 500.

Profitability

This table compares Ingles Markets and J. Sainsbury’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ingles Markets	1.05%	3.60%	2.24%
J. Sainsbury	N/A	N/A	N/A

Summary

J. Sainsbury beats Ingles Markets on 8 of the 13 factors compared between the two stocks.

About Ingles Markets

Ingles Markets, Incorporated, together with its subsidiaries, operates a chain of supermarkets in the southeast United States. It offers food products, including grocery, meat and dairy products, produce, frozen foods, and other perishables; and non-food products, which include fuel centers, pharmacies, health and beauty care products, and general merchandise, as well as private label items. The company owns and operates a milk processing and packaging plant that supplies organic milk, fruit juices, and bottled water products to other retailers, food service distributors, and grocery warehouses. In addition, it provides home meal replacement items, delicatessens, bakeries, floral departments, and greeting cards, as well as broad selections of local organic, beverage, and health-related items. The company operates under the Ingles and Sav-Mor brand names. Ingles Markets, Incorporated was founded in 1963 and is headquartered in Asheville, North Carolina.

About J. Sainsbury

J Sainsbury plc, together with its subsidiaries, engages in the food, general merchandise and clothing retailing, and financial services activities in the United Kingdom and the Republic of Ireland. It operates through three segments: Retail Food, Retail General Merchandise and Clothing, and Financial Services. The company operates various store formats, including convenience stores and supermarkets. It is also involved in the online grocery and general merchandise operations. In addition, it offers financial services, such as credit cards, scorecards, and personal loans; and home, car, pet, travel, and life insurance products. J Sainsbury plc was founded in 1869 and is headquartered in London, the United Kingdom.