Contrasting RB Global (NYSE:RBA) and XBP Europe (NASDAQ:XBP)

RB Global (NYSE:RBA) and XBP Europe (NASDAQ:XBP) are both business services companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, institutional ownership, valuation, profitability, analyst recommendations, earnings and dividends.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for RB Global and XBP Europe, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RB Global	0	1	5	0	2.83
XBP Europe	0	0	0	0	0.00

RB Global currently has a consensus target price of $107.64, indicating a potential upside of 8.16%. Given RB Global’s stronger consensus rating and higher probable upside, equities research analysts plainly believe RB Global is more favorable than XBP Europe.

Volatility & Risk

RB Global has a beta of 0.94, suggesting that its share price is 6% less volatile than the S&P 500. Comparatively, XBP Europe has a beta of -0.28, suggesting that its share price is 128% less volatile than the S&P 500.

Earnings & Valuation

This table compares RB Global and XBP Europe”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RB Global	$4.28 billion	4.29	$206.50 million	$2.01	49.51
XBP Europe	$157.15 million	0.22	-$11.05 million	N/A	N/A

RB Global has higher revenue and earnings than XBP Europe.

Profitability

This table compares RB Global and XBP Europe’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RB Global	9.64%	8.00%	3.45%
XBP Europe	-9.50%	N/A	-14.57%

Insider & Institutional Ownership

95.4% of RB Global shares are held by institutional investors. Comparatively, 15.7% of XBP Europe shares are held by institutional investors. 4.3% of RB Global shares are held by company insiders. Comparatively, 82.5% of XBP Europe shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

RB Global beats XBP Europe on 11 of the 12 factors compared between the two stocks.

About RB Global

RB Global, Inc., an omnichannel marketplace, provides insights, services, and transaction solutions for buyers and sellers of commercial assets and vehicles worldwide. Its marketplace brands include Ritchie Bros., an auctioneer of commercial assets and vehicles offering online bidding; IAA, a digital marketplace connecting vehicle buyers and sellers; Rouse Services, which provides asset management, data-driven intelligence, and performance benchmarking system; SmartEquip, a technology platform that supports customers' management of the equipment lifecycle; and Veritread, an online marketplace for heavy haul transport solution. The company's brands include GovPlanet, an online marketplace for the sale of government and military assets; RB Auction, an onsite and online marketplace for selling and buying used equipment; IronPlanet, an online marketplace for selling and buying used equipment; Marketplace-E, an online solution that make offers/buy now format; Rouse Appraisals, a certified appraisal service solution; Ritchie List Mascus, an online equipment listing service and B2B dealer portal; CSAToday, an online reporting and analysis tool that gives sellers the ability to manage their vehicle assets and monitor sales performance; and Catastrophe Response Services. In addition, it offers title, data, transportation and logistics, refurbishing, inspection, and financial services. It serves customers across various asset classes, including automotive, commercial transportation, construction, government surplus, lifting and material handling, energy, mining, and agriculture. RB Global, Inc. was founded in 1958 and is headquartered in Westchester, Illinois.

About XBP Europe

XBP Europe Holdings, Inc. provides bills, payments, and related solutions and services in France, Germany, the United Kingdom, Sweden, and internationally. The company operates through two segments, Bills & Payments and Technology. The Bills & Payments segment focuses on optimizing how bills and payments are processed by businesses of all sizes and industries. This segment also offers automation of accounts payable and accounts receivables processes and seeks to integrate buyers and suppliers, as well as engages in digital transformation business. The Technology segment engages in the sale of recurring software licenses and related maintenance, and hardware solutions, as well as provision of related maintenance and professional services. In addition, the company offers XBP platform that provides a secured network allowing billers, consumers, and businesses to communicate and transact; XBP Omnidirect, a cloud-based platform that provides enterprise level client communication management; and Reaktr.ai for cybersecurity, data modernization and cloud management, and generative AI. Further, it provides request to pay solutions; enterprise information management solutions; robotic process automation solutions; digital mailroom and records digitization solutions; business process management and intelligent workflow automation solutions; integrated communications solution; banking and financial industry solutions and services; cross-border payments; digitization of checks; confirmation of payee; and mortgage and loan management solutions. The company is based in Egham, the United Kingdom. XBP Europe Holdings, Inc. operates as a subsidiary of Exela Technologies, Inc.