Alight (ALIT) Competitors

Stantec (NYSE:STN) and Alight (NYSE:ALIT) are both mid-cap business services companies, but which is the superior investment? We will compare the two companies based on the strength of their earnings, analyst recommendations, community ranking, valuation, profitability, dividends, risk, media sentiment and institutional ownership.

Is STN or ALIT more profitable?

Stantec has a net margin of 4.78% compared to Alight's net margin of -5.53%. Stantec's return on equity of 16.57% beat Alight's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Stantec	4.78%	16.57%	6.99%
Alight	-5.53%	5.42%	2.45%

Does the media prefer STN or ALIT?

In the previous week, Stantec had 8 more articles in the media than Alight. MarketBeat recorded 15 mentions for Stantec and 7 mentions for Alight. Alight's average media sentiment score of 1.42 beat Stantec's score of 1.24 indicating that Alight is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Stantec	7 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Alight	5 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has more volatility & risk, STN or ALIT?

Stantec has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.Comparatively, Alight has a beta of 0.97, indicating that its share price is 3% less volatile than the S&P 500.

Which has stronger earnings & valuation, STN or ALIT?

Stantec has higher revenue and earnings than Alight. Alight is trading at a lower price-to-earnings ratio than Stantec, 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
Stantec	$7.50B	1.33	$245.35M	$2.33	37.61
Alight	$2.33B	1.19	-$157M	-$0.30	-17.03

Does the MarketBeat Community believe in STN or ALIT?

Stantec received 354 more outperform votes than Alight when rated by MarketBeat users. However, 81.97% of users gave Alight an outperform vote while only 60.03% of users gave Stantec an outperform vote.

Company	Underperform	Outperform
Stantec	Outperform Votes 404 60.03%	Underperform Votes 269 39.97%
Alight	Outperform Votes 50 81.97%	Underperform Votes 11 18.03%

Is STN or ALIT a better dividend stock?

Stantec pays an annual dividend of $0.62 per share and has a dividend yield of 0.7%. Alight pays an annual dividend of $0.16 per share and has a dividend yield of 3.1%. Stantec pays out 26.6% of its earnings in the form of a dividend. Alight pays out -53.3% 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. Stantec has raised its dividend for 13 consecutive years. Alight is clearly the better dividend stock, given its higher yield and lower payout ratio.

Do insiders and institutionals have more ownership in STN or ALIT?

63.9% of Stantec shares are owned by institutional investors. Comparatively, 96.7% of Alight shares are owned by institutional investors. 0.5% of Stantec shares are owned by insiders. Comparatively, 5.3% of Alight shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Do analysts recommend STN or ALIT?

Alight has a consensus price target of $10.19, indicating a potential upside of 99.36%. Given Alight's higher possible upside, analysts clearly believe Alight is more favorable than Stantec.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stantec	0 Sell rating(s)	0 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	3.00
Alight	0 Sell rating(s)	1 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.88

Summary

Stantec beats Alight on 13 of the 21 factors compared between the two stocks.