Atkore (NYSE:ATKR) and Spectrum Brands (NYSE:SPB) are both mid-cap industrial products companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, profitability, valuation, risk, earnings, institutional ownership and dividends.
Volatility & Risk
Atkore has a beta of 2.47, meaning that its share price is 147% more volatile than the S&P 500. Comparatively, Spectrum Brands has a beta of 1.94, meaning that its share price is 94% more volatile than the S&P 500.
Analyst Ratings
This is a breakdown of recent ratings and price targets for Atkore and Spectrum Brands, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Atkore | 0 | 1 | 3 | 0 | 2.75 |
Spectrum Brands | 0 | 1 | 5 | 0 | 2.83 |
Atkore presently has a consensus price target of $61.00, indicating a potential downside of 16.32%. Spectrum Brands has a consensus price target of $82.50, indicating a potential downside of 7.16%. Given Spectrum Brands' stronger consensus rating and higher probable upside, analysts plainly believe Spectrum Brands is more favorable than Atkore.
Profitability
This table compares Atkore and Spectrum Brands' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Atkore | 8.63% | 47.96% | 10.08% |
Spectrum Brands | 2.46% | 13.35% | 3.59% |
Insider and Institutional Ownership
97.4% of Atkore shares are owned by institutional investors. Comparatively, 92.6% of Spectrum Brands shares are owned by institutional investors. 1.7% of Atkore shares are owned by insiders. Comparatively, 2.2% of Spectrum Brands shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Earnings & Valuation
This table compares Atkore and Spectrum Brands' gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Atkore | $1.77 billion | 1.93 | $152.30 million | N/A | N/A |
Spectrum Brands | $3.96 billion | 0.96 | $97.80 million | $4.10 | 21.67 |
Atkore has higher earnings, but lower revenue than Spectrum Brands.
Summary
Atkore beats Spectrum Brands on 7 of the 13 factors compared between the two stocks.