Hilton Grand Vacations (NYSE:HGV) and Wynn Macau (OTCMKTS:WYNMY) Critical Analysis

Hilton Grand Vacations (NYSE:HGV) and Wynn Macau (OTCMKTS:WYNMY) are both mid-cap consumer discretionary companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, valuation, institutional ownership, earnings, profitability, dividends and analyst recommendations.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Hilton Grand Vacations and Wynn Macau, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hilton Grand Vacations	1	2	4	0	2.43
Wynn Macau	0	0	0	0	0.00

Hilton Grand Vacations currently has a consensus target price of $44.00, indicating a potential upside of 5.14%. Given Hilton Grand Vacations’ stronger consensus rating and higher probable upside, research analysts clearly believe Hilton Grand Vacations is more favorable than Wynn Macau.

Profitability

This table compares Hilton Grand Vacations and Wynn Macau’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hilton Grand Vacations	2.01%	16.44%	3.19%
Wynn Macau	N/A	N/A	N/A

Earnings & Valuation

This table compares Hilton Grand Vacations and Wynn Macau”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hilton Grand Vacations	$4.72 billion	0.87	$313.00 million	$0.88	47.56
Wynn Macau	$3.10 billion	1.22	$149.62 million	N/A	N/A

Hilton Grand Vacations has higher revenue and earnings than Wynn Macau.

Institutional & Insider Ownership

97.2% of Hilton Grand Vacations shares are held by institutional investors. 2.3% of Hilton Grand Vacations shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Volatility and Risk

Hilton Grand Vacations has a beta of 1.82, suggesting that its stock price is 82% more volatile than the S&P 500. Comparatively, Wynn Macau has a beta of 0.6, suggesting that its stock price is 40% less volatile than the S&P 500.

Summary

Hilton Grand Vacations beats Wynn Macau on 11 of the 12 factors compared between the two stocks.

About Hilton Grand Vacations

Hilton Grand Vacations Inc., a timeshare company, develops, markets, sells, manages, and operates the resorts, plans and ancillary reservation services under the Hilton Grand Vacations brand. It operates through Real Estate Sales and Financing, and Resort Operations and Club Management segments. Real Estate Sales and Financing segment market and sells the VOIs, and source VOIs through fee-for-service agreements with third-party developers; and provides consumer financing and services loans. Resort Operations and Club Management segment manages and operates the clubs which offers exchange, leisure travel, and reservation services, as well as engages in the rental of inventory made available due to ownership exchanges through its club programs, and provides ancillary services including food and beverage, retail and spa at timeshare properties. Hilton Grand Vacations Inc. was founded in 1992 and is headquartered in Orlando, Florida.

About Wynn Macau

Wynn Macau, Limited, through its subsidiaries, engages in the development, ownership, and operation of integrated destination casino resorts in Macau. The company's Wynn Palace resort features approximately 468,000 square feet of casino space providing 24-hour gaming and various games comprising private gaming salons and sky casinos; a luxury hotel with guest rooms, suites, and villas; and food and beverage outlets. Its Wynn Palace resort also consists of approximately 107,000 square feet of retail shopping; 37,000 square feet of meeting and convention space; recreation and leisure facilities consisting of a cable car ride, health club, spa, salon, and pool; and public entertainment attractions, including a lake, animated floral art displays, and fine art displays. In addition, the company's Wynn Macau resort features approximately 294,000 square feet of casino space offering 24-hour gaming and various games, including private gaming salons, sky casinos, and a poker pit; hotel towers with rooms and suites; food and beverage outlets; and recreation and leisure facilities, such as health clubs and spas, a salon, and a pool. Further, its Wynn Macau resort includes approximately 64,300 square feet of brand-name retail shopping and 31,000 square feet of meeting and convention space. The company was incorporated in 2009 and is headquartered in Macau. Wynn Macau, Limited operates as a subsidiary of WM Cayman Holdings Limited I.