Leonardo DRS (DRS) Competitors

Vertiv (NYSE:VRT) and Leonardo DRS (NASDAQ:DRS) are both large-cap electronic equipment companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, analyst recommendations, profitability, institutional ownership, valuation, risk, dividends and media sentiment.

Do insiders & institutionals have more ownership in VRT or DRS?

89.9% of Vertiv shares are owned by institutional investors. Comparatively, 18.8% of Leonardo DRS shares are owned by institutional investors. 2.6% of Vertiv shares are owned by company insiders. Comparatively, 0.3% of Leonardo DRS shares are owned 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.

Do analysts rate VRT or DRS?

Vertiv currently has a consensus target price of $132.94, suggesting a potential upside of 3.51%. Leonardo DRS has a consensus target price of $44.29, suggesting a potential downside of 5.80%. Given Vertiv's stronger consensus rating and higher probable upside, analysts clearly believe Vertiv is more favorable than Leonardo DRS.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vertiv	0 Sell rating(s)	3 Hold rating(s)	14 Buy rating(s)	2 Strong Buy rating(s)	2.95
Leonardo DRS	0 Sell rating(s)	2 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.71

Is VRT or DRS a better dividend stock?

Vertiv pays an annual dividend of $0.15 per share and has a dividend yield of 0.1%. Leonardo DRS pays an annual dividend of $0.36 per share and has a dividend yield of 0.8%. Vertiv pays out 8.7% of its earnings in the form of a dividend. Leonardo DRS pays out 41.4% 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. Vertiv has raised its dividend for 2 consecutive years.

Which has more risk and volatility, VRT or DRS?

Vertiv has a beta of 1.75, indicating that its stock price is 75% more volatile than the S&P 500. Comparatively, Leonardo DRS has a beta of 0.63, indicating that its stock price is 37% less volatile than the S&P 500.

Which has better earnings and valuation, VRT or DRS?

Vertiv has higher revenue and earnings than Leonardo DRS. Leonardo DRS is trading at a lower price-to-earnings ratio than Vertiv, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vertiv	$8.41B	5.82	$495.80M	$1.72	74.67
Leonardo DRS	$3.23B	3.87	$213M	$0.87	54.03

Does the media favor VRT or DRS?

In the previous week, Vertiv had 31 more articles in the media than Leonardo DRS. MarketBeat recorded 35 mentions for Vertiv and 4 mentions for Leonardo DRS. Vertiv's average media sentiment score of 1.23 beat Leonardo DRS's score of 0.95 indicating that Vertiv is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Vertiv	19 Very Positive mention(s)	8 Positive mention(s)	5 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Leonardo DRS	2 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is VRT or DRS more profitable?

Vertiv has a net margin of 7.92% compared to Leonardo DRS's net margin of 7.00%. Vertiv's return on equity of 56.01% beat Leonardo DRS's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Vertiv	7.92%	56.01%	13.30%
Leonardo DRS	7.00%	10.63%	6.67%

Summary

Vertiv beats Leonardo DRS on 19 of the 20 factors compared between the two stocks.