Snap-On (SNA) Competitors

Donaldson (NYSE:DCI) and Snap-On (NYSE:SNA) are both industrial machinery companies, but which is the superior business? We will compare the two companies based on the strength of their media sentiment, earnings, institutional ownership, profitability, valuation, analyst recommendations, risk and dividends.

Do institutionals and insiders hold more shares of DCI or SNA?

82.8% of Donaldson shares are held by institutional investors. Comparatively, 84.9% of Snap-On shares are held by institutional investors. 2.7% of Donaldson shares are held by company insiders. Comparatively, 3.9% of Snap-On shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Does the media prefer DCI or SNA?

In the previous week, Snap-On had 35 more articles in the media than Donaldson. MarketBeat recorded 40 mentions for Snap-On and 5 mentions for Donaldson. Donaldson's average media sentiment score of 1.32 beat Snap-On's score of 0.73 indicating that Donaldson is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Donaldson	3 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Snap-On	22 Very Positive mention(s)	5 Positive mention(s)	7 Neutral mention(s)	2 Negative mention(s)	1 Very Negative mention(s)	Positive

Which has stronger earnings & valuation, DCI or SNA?

Snap-On has higher revenue and earnings than Donaldson. Snap-On is trading at a lower price-to-earnings ratio than Donaldson, 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
Donaldson	$3.65B	2.30	$414M	$2.98	24.17
Snap-On	$5.11B	3.30	$1.04B	$18.75	17.24

Is DCI or SNA a better dividend stock?

Donaldson pays an annual dividend of $1.20 per share and has a dividend yield of 1.7%. Snap-On pays an annual dividend of $8.56 per share and has a dividend yield of 2.6%. Donaldson pays out 40.3% of its earnings in the form of a dividend. Snap-On pays out 45.7% 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. Donaldson has raised its dividend for 38 consecutive years and Snap-On has raised its dividend for 15 consecutive years.

Do analysts rate DCI or SNA?

Donaldson presently has a consensus target price of $70.00, suggesting a potential downside of 2.82%. Snap-On has a consensus target price of $356.17, suggesting a potential upside of 10.20%. Given Snap-On's stronger consensus rating and higher possible upside, analysts clearly believe Snap-On is more favorable than Donaldson.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Donaldson	1 Sell rating(s)	1 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.00
Snap-On	1 Sell rating(s)	1 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.50

Is DCI or SNA more profitable?

Snap-On has a net margin of 20.98% compared to Donaldson's net margin of 9.94%. Donaldson's return on equity of 28.86% beat Snap-On's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Donaldson	9.94%	28.86%	14.63%
Snap-On	20.98%	18.02%	12.45%

Which has more risk & volatility, DCI or SNA?

Donaldson has a beta of 0.99, suggesting that its stock price is 1% less volatile than the S&P 500. Comparatively, Snap-On has a beta of 0.76, suggesting that its stock price is 24% less volatile than the S&P 500.

Summary

Snap-On beats Donaldson on 12 of the 19 factors compared between the two stocks.