GGG vs. IEX, FLS, XYL, NDSN, PKG, CNHI, SWK, ZBRA, LECO, and AVY
Should you be buying Graco stock or one of its competitors? The main competitors of Graco include IDEX (IEX), Flowserve (FLS), Xylem (XYL), Nordson (NDSN), Packaging Co. of America (PKG), CNH Industrial (CNHI), Stanley Black & Decker (SWK), Zebra Technologies (ZBRA), Lincoln Electric (LECO), and Avery Dennison (AVY). These companies are all part of the "industrial products" sector.
IDEX (NYSE:IEX) and Graco (NYSE:GGG) are both large-cap industrial products companies, but which is the better business? We will compare the two companies based on the strength of their valuation, earnings, institutional ownership, profitability, dividends, community ranking, risk, analyst recommendations and media sentiment.
IDEX currently has a consensus target price of $238.78, indicating a potential upside of 2.76%. Graco has a consensus target price of $84.80, indicating a potential downside of 5.27%. Given Graco's stronger consensus rating and higher possible upside, research analysts plainly believe IDEX is more favorable than Graco.
In the previous week, IDEX had 26 more articles in the media than Graco. MarketBeat recorded 34 mentions for IDEX and 8 mentions for Graco. IDEX's average media sentiment score of 0.81 beat Graco's score of 0.28 indicating that Graco is being referred to more favorably in the news media.
IDEX pays an annual dividend of $2.56 per share and has a dividend yield of 1.1%. Graco pays an annual dividend of $1.02 per share and has a dividend yield of 1.1%. IDEX pays out 32.7% of its earnings in the form of a dividend. Graco pays out 34.7% 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. IDEX has increased its dividend for 14 consecutive years and Graco has increased its dividend for 28 consecutive years. Graco is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
IDEX has higher revenue and earnings than Graco. IDEX is trading at a lower price-to-earnings ratio than Graco, indicating that it is currently the more affordable of the two stocks.
IDEX received 73 more outperform votes than Graco when rated by MarketBeat users. However, 61.15% of users gave Graco an outperform vote while only 58.44% of users gave IDEX an outperform vote.
IDEX has a beta of 0.97, suggesting that its stock price is 3% less volatile than the S&P 500. Comparatively, Graco has a beta of 0.81, suggesting that its stock price is 19% less volatile than the S&P 500.
Graco has a net margin of 23.07% compared to Graco's net margin of 18.21%. IDEX's return on equity of 24.61% beat Graco's return on equity.
98.0% of IDEX shares are held by institutional investors. Comparatively, 93.9% of Graco shares are held by institutional investors. 0.5% of IDEX shares are held by insiders. Comparatively, 2.6% of Graco shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.
Summary
IDEX beats Graco on 11 of the 21 factors compared between the two stocks.
Get Graco News Delivered to You Automatically
Sign up to receive the latest news and ratings for GGG and its competitors with MarketBeat's FREE daily newsletter.
This chart shows the number of new MarketBeat users adding GGG and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Related Companies and Tools
