Critical Survey: Genuine Parts (NYSE:GPC) vs. The Foschini Group (OTCMKTS:FHNIY)

Genuine Parts (NYSE:GPC) and The Foschini Group (OTCMKTS:FHNIY) are both auto/tires/trucks companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, earnings, valuation, analyst recommendations, risk, dividends and profitability.

Analyst Ratings

This is a breakdown of current ratings for Genuine Parts and The Foschini Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Genuine Parts	0	5	4	0	2.44
The Foschini Group	0	0	0	0	N/A

Genuine Parts presently has a consensus price target of $167.78, indicating a potential upside of 8.29%. Given Genuine Parts’ higher probable upside, equities research analysts clearly believe Genuine Parts is more favorable than The Foschini Group.

Earnings and Valuation

This table compares Genuine Parts and The Foschini Group’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Genuine Parts	$23.09 billion	0.94	$1.32 billion	$9.33	16.61
The Foschini Group	N/A	N/A	N/A	N/A	N/A

Genuine Parts has higher revenue and earnings than The Foschini Group.

Profitability

This table compares Genuine Parts and The Foschini Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Genuine Parts	5.70%	31.64%	7.65%
The Foschini Group	N/A	N/A	N/A

Insider and Institutional Ownership

78.8% of Genuine Parts shares are held by institutional investors. 0.4% of Genuine Parts shares are held 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.

Summary

Genuine Parts beats The Foschini Group on 8 of the 8 factors compared between the two stocks.

About Genuine Parts

Genuine Parts Company distributes automotive replacement parts, and industrial parts and materials. It operates in two segments: Automotive Parts Group and Industrial Parts Group segments. The company distributes automotive replacement parts for hybrid and electric vehicles, trucks, SUVs, buses, motorcycles, recreational vehicles, farm vehicles, small engines, farm equipment, marine equipment, and heavy duty equipment; and equipment and parts used by repair shops, service stations, fleet operators, automobile and truck dealers, leasing companies, bus and truck lines, mass merchandisers, farms, and individuals. It also distributes industrial replacement parts and related supplies, such as abrasives, adhesives, sealants and tape, bearings, chemicals, cutting tools, electrical, facility maintenance, hose and fittings, hydraulics, janitorial, mechanical power transmission, pneumatics, process pumps and equipment, safety, seals and gaskets, and tools and testing instruments, as well as maintenance, repair, and operation customers in aggregate and cement, automotive, chemical and allied products, equipment and machinery, equipment rental and leasing, fabricated metals, food and beverage, iron and steel, lumber and wood, oil and gas, pulp and paper, and rubber products. In addition, the company provides various services and repairs comprising gearbox and fluid power and process pump assembly and repair, hydraulic drive shaft repair, electrical panel assembly and repair, hose and gasket manufacture and assembly. It operates in the United States, Canada, France, the United Kingdom, Ireland, Germany, Poland, the Netherlands, Belgium, Spain, Portugal, Australia, New Zealand, Mexico, Indonesia, and Singapore. The company was incorporated in 1928 and is headquartered in Atlanta, Georgia.

About The Foschini Group

The Foschini Group Limited, together with its subsidiaries, operates independent chain-stores in South Africa and internationally. The company operates through four segments: TFG Africa Retail, Credit, TFG London, and TFG Australia. It offers clothing for men, ladies, and kids; jewelry; cellphones; accessories; cosmetics; sporting and outdoor apparel and equipment; and homeware and furniture. The company provides its products under the @home, @homelivingspace, American Swiss, Archive, Colette, Connor, Donna, Duesouth Escapes, Exact, Fabiani, The FIX, Foschini, G-Star RAW, Hi, Hobbs, Johnny Bigg, Markham, Phase Eight, Relay Jeans, RFO, Rockwear, Sneaker Factory, SODA Bloc, Sportscene, Sterns, Tarocash, Totalsports, Whistles, and yd. brands. It operates 4,083 trading outlets in 32 countries on 5 continents, as well as online. The company was formerly known as Foschini Limited and changed its name to The Foschini Group Limited in September 2010. The Foschini Group Limited was founded in 1924 and is headquartered in Cape Town, South Africa.