Astronics (NASDAQ:ATRO) and Honeywell International (NYSE:HON) are both aerospace companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, risk, institutional ownership, profitability, analyst recommendations, valuation and dividends.
Profitability
This table compares Astronics and Honeywell International's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Astronics | -22.15% | -2.68% | -1.18% |
Honeywell International | 14.99% | 27.69% | 8.34% |
Institutional & Insider Ownership
57.8% of Astronics shares are held by institutional investors. Comparatively, 76.0% of Honeywell International shares are held by institutional investors. 14.8% of Astronics shares are held by company insiders. Comparatively, 0.6% of Honeywell International shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.
Valuation and Earnings
This table compares Astronics and Honeywell International's gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Astronics | $772.70 million | 0.65 | $52.02 million | $0.91 | 17.97 |
Honeywell International | $36.71 billion | 3.93 | $6.14 billion | $8.16 | 25.43 |
Honeywell International has higher revenue and earnings than Astronics. Astronics is trading at a lower price-to-earnings ratio than Honeywell International, indicating that it is currently the more affordable of the two stocks.
Risk and Volatility
Astronics has a beta of 2.18, meaning that its stock price is 118% more volatile than the S&P 500. Comparatively, Honeywell International has a beta of 1.13, meaning that its stock price is 13% more volatile than the S&P 500.
Analyst Ratings
This is a summary of current ratings and recommmendations for Astronics and Honeywell International, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Astronics | 1 | 1 | 2 | 0 | 2.25 |
Honeywell International | 0 | 9 | 10 | 0 | 2.53 |
Astronics currently has a consensus price target of $14.00, indicating a potential downside of 14.53%. Honeywell International has a consensus price target of $196.1176, indicating a potential downside of 5.15%. Given Honeywell International's stronger consensus rating and higher possible upside, analysts plainly believe Honeywell International is more favorable than Astronics.
Summary
Honeywell International beats Astronics on 12 of the 14 factors compared between the two stocks.