Richelieu Hardware (RCH) Competitors

Richelieu Hardware (TSE:RCH) and Dorel Industries (TSE:DII.B) are both small-cap consumer cyclical companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, community ranking, institutional ownership, risk, earnings, media sentiment, dividends and valuation.

Does the media favor RCH or DII.B?

In the previous week, Dorel Industries had 2 more articles in the media than Richelieu Hardware. MarketBeat recorded 2 mentions for Dorel Industries and 0 mentions for Richelieu Hardware. Richelieu Hardware's average media sentiment score of 0.00 beat Dorel Industries' score of -0.82 indicating that Richelieu Hardware is being referred to more favorably in the media.

Company	Overall Sentiment
Richelieu Hardware	Neutral
Dorel Industries	Negative

Which has better earnings & valuation, RCH or DII.B?

Richelieu Hardware has higher revenue and earnings than Dorel Industries. Dorel Industries is trading at a lower price-to-earnings ratio than Richelieu Hardware, 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
Richelieu Hardware	C$1.80B	1.06	C$89.67M	C$1.61	21.47
Dorel Industries	C$1.41B	0.03	-C$91.17M	-C$3.92	-0.41

Does the MarketBeat Community believe in RCH or DII.B?

Richelieu Hardware received 23 more outperform votes than Dorel Industries when rated by MarketBeat users. Likewise, 65.67% of users gave Richelieu Hardware an outperform vote while only 52.62% of users gave Dorel Industries an outperform vote.

Company	Underperform	Outperform
Richelieu Hardware	Outperform Votes 264 65.67%	Underperform Votes 138 34.33%
Dorel Industries	Outperform Votes 241 52.62%	Underperform Votes 217 47.38%

Is RCH or DII.B more profitable?

Richelieu Hardware has a net margin of 4.97% compared to Dorel Industries' net margin of -6.47%. Richelieu Hardware's return on equity of 9.84% beat Dorel Industries' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Richelieu Hardware	4.97%	9.84%	6.46%
Dorel Industries	-6.47%	-48.11%	-1.10%

Do analysts rate RCH or DII.B?

Richelieu Hardware presently has a consensus price target of C$41.75, suggesting a potential upside of 21.05%. Dorel Industries has a consensus price target of C$1.75, suggesting a potential upside of 9.37%. Given Richelieu Hardware's stronger consensus rating and higher probable upside, equities research analysts clearly believe Richelieu Hardware is more favorable than Dorel Industries.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Richelieu Hardware	0 Sell rating(s)	2 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00
Dorel Industries	1 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.00

Which has more risk & volatility, RCH or DII.B?

Richelieu Hardware has a beta of 0.94, indicating that its stock price is 6% less volatile than the S&P 500. Comparatively, Dorel Industries has a beta of 3.06, indicating that its stock price is 206% more volatile than the S&P 500.

Do insiders & institutionals hold more shares of RCH or DII.B?

54.3% of Richelieu Hardware shares are owned by institutional investors. Comparatively, 49.4% of Dorel Industries shares are owned by institutional investors. 7.6% of Richelieu Hardware shares are owned by company insiders. Comparatively, 1.3% of Dorel Industries shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Is RCH or DII.B a better dividend stock?

Richelieu Hardware pays an annual dividend of C$0.60 per share and has a dividend yield of 1.7%. Dorel Industries pays an annual dividend of C$0.80 per share and has a dividend yield of 50.0%. Richelieu Hardware pays out 37.3% of its earnings in the form of a dividend. Dorel Industries pays out -20.4% 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. Dorel Industries is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

Richelieu Hardware beats Dorel Industries on 15 of the 19 factors compared between the two stocks.