Orkla ASA (OTCMKTS:ORKLY) and Vestas Wind Systems A/S (OTCMKTS:VWDRY) are both large-cap multi-sector conglomerates companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, institutional ownership, valuation, profitability, analyst recommendations, earnings and risk.
Dividends
Orkla ASA pays an annual dividend of $0.19 per share and has a dividend yield of 1.9%. Vestas Wind Systems A/S pays an annual dividend of $0.24 per share and has a dividend yield of 0.4%. Vestas Wind Systems A/S pays out 18.0% of its earnings in the form of a dividend.
Volatility and Risk
Orkla ASA has a beta of 0.28, meaning that its stock price is 72% less volatile than the S&P 500. Comparatively, Vestas Wind Systems A/S has a beta of 0.89, meaning that its stock price is 11% less volatile than the S&P 500.
Valuation and Earnings
This table compares Orkla ASA and Vestas Wind Systems A/S's revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| Orkla ASA | $4.96 billion | 2.05 | $436.38 million | N/A | N/A |
| Vestas Wind Systems A/S | $13.61 billion | 2.83 | $788.48 million | $1.33 | 47.83 |
Vestas Wind Systems A/S has higher revenue and earnings than Orkla ASA.
Analyst Ratings
This is a summary of recent ratings and recommmendations for Orkla ASA and Vestas Wind Systems A/S, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| Orkla ASA | 1 | 2 | 4 | 0 | 2.43 |
| Vestas Wind Systems A/S | 2 | 5 | 7 | 0 | 2.36 |
Profitability
This table compares Orkla ASA and Vestas Wind Systems A/S's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| Orkla ASA | 9.74% | 13.25% | 7.88% |
| Vestas Wind Systems A/S | 3.12% | 13.89% | 3.16% |
Insider and Institutional Ownership
0.1% of Vestas Wind Systems A/S shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.
Summary
Vestas Wind Systems A/S beats Orkla ASA on 8 of the 13 factors compared between the two stocks.
