LiqTech International (NASDAQ:LIQT) and Titan International (NYSE:TWI) are both small-cap industrial products companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, profitability, earnings, analyst recommendations, risk and institutional ownership.
Risk & Volatility
LiqTech International has a beta of 1.02, suggesting that its stock price is 2% more volatile than the S&P 500. Comparatively, Titan International has a beta of 2.47, suggesting that its stock price is 147% more volatile than the S&P 500.
Profitability
This table compares LiqTech International and Titan International's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| LiqTech International | -28.10% | -28.05% | -17.33% |
| Titan International | -5.51% | -27.12% | -4.91% |
Analyst Ratings
This is a summary of recent ratings and recommmendations for LiqTech International and Titan International, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| LiqTech International | 0 | 1 | 1 | 0 | 2.50 |
| Titan International | 0 | 2 | 0 | 0 | 2.00 |
LiqTech International currently has a consensus price target of $11.00, suggesting a potential upside of 44.36%. Titan International has a consensus price target of $7.50, suggesting a potential downside of 22.76%. Given LiqTech International's stronger consensus rating and higher probable upside, analysts clearly believe LiqTech International is more favorable than Titan International.
Earnings and Valuation
This table compares LiqTech International and Titan International's top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| LiqTech International | $32.64 million | 5.11 | $40,000.00 | N/A | N/A |
| Titan International | $1.45 billion | 0.41 | $-48,420,000.00 | ($0.76) | -12.57 |
LiqTech International has higher earnings, but lower revenue than Titan International.
Institutional & Insider Ownership
57.5% of LiqTech International shares are owned by institutional investors. Comparatively, 65.2% of Titan International shares are owned by institutional investors. 2.8% of LiqTech International shares are owned by insiders. Comparatively, 17.8% of Titan International shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Summary
Titan International beats LiqTech International on 8 of the 13 factors compared between the two stocks.
