Head-To-Head Analysis: Sendas Distribuidora (ASAI) and Its Competitors

Sendas Distribuidora (NYSE:ASAI – Get Rating) is one of 51 public companies in the “Grocery stores” industry, but how does it contrast to its peers? We will compare Sendas Distribuidora to related businesses based on the strength of its analyst recommendations, dividends, profitability, institutional ownership, risk, valuation and earnings.

Dividends

Sendas Distribuidora pays an annual dividend of $0.08 per share and has a dividend yield of 0.7%. Sendas Distribuidora pays out 10.3% of its earnings in the form of a dividend. As a group, “Grocery stores” companies pay a dividend yield of 3.4% and pay out 57.6% of their earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of current ratings and target prices for Sendas Distribuidora and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sendas Distribuidora	0	1	0	0	2.00
Sendas Distribuidora Competitors	1096	2660	2843	112	2.29

As a group, “Grocery stores” companies have a potential upside of 16.91%. Given Sendas Distribuidora’s peers stronger consensus rating and higher probable upside, analysts plainly believe Sendas Distribuidora has less favorable growth aspects than its peers.

Volatility & Risk

Sendas Distribuidora has a beta of 0.77, suggesting that its stock price is 23% less volatile than the S&P 500. Comparatively, Sendas Distribuidora’s peers have a beta of -2.58, suggesting that their average stock price is 358% less volatile than the S&P 500.

Profitability

This table compares Sendas Distribuidora and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sendas Distribuidora	1.86%	29.13%	2.88%
Sendas Distribuidora Competitors	1.80%	15.76%	4.55%

Valuation and Earnings

This table compares Sendas Distribuidora and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Sendas Distribuidora	$10.56 billion	$236.31 million	15.58
Sendas Distribuidora Competitors	$28.89 billion	$705.75 million	220.90

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

Insider & Institutional Ownership

4.5% of Sendas Distribuidora shares are owned by institutional investors. Comparatively, 46.1% of shares of all “Grocery stores” companies are owned by institutional investors. 0.4% of Sendas Distribuidora shares are owned by insiders. Comparatively, 21.1% of shares of all “Grocery stores” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Sendas Distribuidora peers beat Sendas Distribuidora on 11 of the 15 factors compared.

About Sendas Distribuidora

(Get Rating)

Sendas Distribuidora S.A. engages in the retail and wholesale sale of food products, bazaar items, and other products in Brazil. As of March 31, 2022, the company operated 216 stores under the Assaí banner, as well as 13 distribution centers. It serves restaurants, pizzerias, snack bars, schools, small businesses, religious institutions, hospitals, hotels, grocery stores, neighborhood supermarkets, and individuals. The company sells its products through brick-and-mortar stores, as well as through telesales. Sendas Distribuidora S.A. was founded in 1974 and is headquartered in Rio de Janeiro, Brazil.