Comparing Japan Airlines (OTCMKTS:JAPSY) & Sampo Oyj (OTCMKTS:SAXPY)

Japan Airlines (OTCMKTS:JAPSY) and Sampo Oyj (OTCMKTS:SAXPY) are both transportation companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, institutional ownership, risk, earnings, profitability, analyst recommendations and valuation.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Japan Airlines and Sampo Oyj, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Japan Airlines	0	0	0	0	N/A
Sampo Oyj	0	0	0	0	N/A

Dividends

Japan Airlines pays an annual dividend of $0.19 per share and has a dividend yield of 2.4%. Sampo Oyj pays an annual dividend of $0.43 per share and has a dividend yield of 1.9%. Japan Airlines pays out 25.0% of its earnings in the form of a dividend. Sampo Oyj pays out 28.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Japan Airlines is clearly the better dividend stock, given its higher yield and lower payout ratio.

Institutional and Insider Ownership

0.0% of Sampo Oyj shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Volatility and Risk

Japan Airlines has a beta of 0.67, meaning that its stock price is 33% less volatile than the S&P 500. Comparatively, Sampo Oyj has a beta of 0.92, meaning that its stock price is 8% less volatile than the S&P 500.

Profitability

This table compares Japan Airlines and Sampo Oyj’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Japan Airlines	5.38%	9.59%	3.37%
Sampo Oyj	N/A	14.73%	3.91%

Earnings & Valuation

This table compares Japan Airlines and Sampo Oyj”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Japan Airlines	$11.44 billion	0.46	$659.18 million	$0.76	10.36
Sampo Oyj	$1.90 billion	12.90	$1.43 billion	$1.51	14.74

Sampo Oyj has lower revenue, but higher earnings than Japan Airlines. Japan Airlines is trading at a lower price-to-earnings ratio than Sampo Oyj, indicating that it is currently the more affordable of the two stocks.

Summary

Sampo Oyj beats Japan Airlines on 8 of the 12 factors compared between the two stocks.

About Japan Airlines

Japan Airlines Co., Ltd., together with its subsidiaries, provides scheduled and non-scheduled air transport services in Japan, Asia, Oceania, North America, and Europe. The company operates through Air Transportation and Other segments. It offers passenger, ground handling, cargo and mail handling, and maintenance services. The company is also involved in the aerial work and other related business; airport peripheral business; and sale of travel package tours. As of March 31, 2023, it operated a fleet of 224 aircraft. The company was formerly known as Japan Airlines International Co., Ltd. and changed its name to Japan Airlines Co., Ltd. in April 2011. The company was founded in 1951 and is headquartered in Tokyo, Japan.

About Sampo Oyj

Sampo Oyj, together with its subsidiaries, engages in the provision of non-life insurance products and services in Finland, Sweden, Norway, Denmark, Estonia, Lithuania, Latvia, and the United Kingdom. The company operates through If, Topdanmark, Hastings, Mandatum, and Holding segments. It offers property, casualty, liability, accident, sickness, household, homeowner, motor, travel, marine, aviation, transport, forest, livestock, health, workers compensation, car, van, and bike insurance services, as well as reinsurance services. The company was founded in 1909 and is based in Helsinki, Finland.