Brooks Automation (NASDAQ:BRKS) and Alfa Laval AB (publ) (OTCMKTS:ALFVY) are both computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their earnings, risk, profitability, valuation, dividends, institutional ownership and analyst recommendations.
Profitability
This table compares Brooks Automation and Alfa Laval AB (publ)'s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Brooks Automation | 7.23% | 7.95% | 6.13% |
Alfa Laval AB (publ) | 10.88% | 16.91% | 7.35% |
Insider and Institutional Ownership
95.3% of Brooks Automation shares are held by institutional investors. 1.6% of Brooks Automation shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Analyst Recommendations
This is a breakdown of current ratings and recommmendations for Brooks Automation and Alfa Laval AB (publ), as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Brooks Automation | 0 | 2 | 6 | 0 | 2.75 |
Alfa Laval AB (publ) | 0 | 4 | 3 | 0 | 2.43 |
Brooks Automation presently has a consensus price target of $79.3750, indicating a potential downside of 4.55%. Given Brooks Automation's stronger consensus rating and higher probable upside, equities research analysts plainly believe Brooks Automation is more favorable than Alfa Laval AB (publ).
Earnings & Valuation
This table compares Brooks Automation and Alfa Laval AB (publ)'s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Brooks Automation | $897.27 million | 6.88 | $64.85 million | $1.26 | 66.00 |
Alfa Laval AB (publ) | $4.92 billion | 2.66 | $580.42 million | $1.38 | 22.58 |
Alfa Laval AB (publ) has higher revenue and earnings than Brooks Automation. Alfa Laval AB (publ) is trading at a lower price-to-earnings ratio than Brooks Automation, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
Brooks Automation has a beta of 1.97, suggesting that its stock price is 97% more volatile than the S&P 500. Comparatively, Alfa Laval AB (publ) has a beta of 1.26, suggesting that its stock price is 26% more volatile than the S&P 500.
Summary
Brooks Automation beats Alfa Laval AB (publ) on 8 of the 14 factors compared between the two stocks.