Federal Signal (OTCMKTS: GELYY) and GEELY AUTOMOBIL/ADR (OTCMKTS:GELYY) are both multi-sector conglomerates companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, risk, earnings, profitability, analyst recommendations, institutional ownership and dividends.
This is a breakdown of recent recommendations and price targets for Federal Signal and GEELY AUTOMOBIL/ADR, as reported by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
This table compares Federal Signal and GEELY AUTOMOBIL/ADR’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Institutional and Insider Ownership
87.8% of Federal Signal shares are owned by institutional investors. Comparatively, 0.1% of GEELY AUTOMOBIL/ADR shares are owned by institutional investors. 4.3% of Federal Signal shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Earnings and Valuation
This table compares Federal Signal and GEELY AUTOMOBIL/ADR’s gross revenue, earnings per share and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Federal Signal||$898.50 million||1.74||$61.60 million||$0.85||30.58|
|GEELY AUTOMOBIL/ADR||$13.73 billion||1.38||$1.57 billion||$3.43||12.34|
GEELY AUTOMOBIL/ADR has higher revenue and earnings than Federal Signal. GEELY AUTOMOBIL/ADR is trading at a lower price-to-earnings ratio than Federal Signal, indicating that it is currently the more affordable of the two stocks.
Risk & Volatility
Federal Signal has a beta of 1.11, suggesting that its stock price is 11% more volatile than the S&P 500. Comparatively, GEELY AUTOMOBIL/ADR has a beta of 0.44, suggesting that its stock price is 56% less volatile than the S&P 500.
Federal Signal pays an annual dividend of $0.32 per share and has a dividend yield of 1.2%. GEELY AUTOMOBIL/ADR pays an annual dividend of $0.69 per share and has a dividend yield of 1.6%. Federal Signal pays out 37.6% of its earnings in the form of a dividend. GEELY AUTOMOBIL/ADR pays out 20.1% 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. GEELY AUTOMOBIL/ADR is clearly the better dividend stock, given its higher yield and lower payout ratio.
Federal Signal beats GEELY AUTOMOBIL/ADR on 9 of the 14 factors compared between the two stocks.
About Federal Signal
Federal Signal Corporation, together with its subsidiaries, designs, manufactures, and supplies a suite of products and integrated solutions for municipal, governmental, industrial, and commercial customers in the United States, Canada, Europe, and internationally. It operates through two segments, Environmental Solutions Group and Safety and Security Systems Group. The Environmental Solutions Group segment offers a range of street sweeper vehicles, sewer cleaner and vacuum loader trucks, hydro-excavation trucks, and water blasting equipment under the Elgin, Vactor, Guzzler, Westech, and Jetstream brand names. Is also manufactures dump truck bodies and trailers for maintenance and infrastructure end-markets under the Ox Bodies, Crysteel, J-Craft, Duraclass, Rugby, and Travis brand names. In addition, this segment engages in the sale of parts, service and repair, equipment rental, and training activities under the FS Solutions brand. The Safety and Security Systems Group segment provides systems and products for campus and community alerting, emergency vehicles, first responder interoperable communications, and industrial communications, as well as command and municipal networked security. Its products include vehicle lightbars and sirens, public warning sirens, general alarm systems, public address systems, and public safety software. This segment sells its products under the Federal Signal, Federal Signal VAMA, and Victor brand names. The company sells its products through wholesaler, distributor, independent manufacturer representative, original equipment manufacturer, and direct sales force, as well as independent foreign distributor. Federal Signal Corporation was founded in 1901 and is headquartered in Oak Brook, Illinois.
About GEELY AUTOMOBIL/ADR
Geely Automobile Holdings Limited, an investment holding company, operates as an automobile manufacturer primarily in the People's Republic of China. The company engages in the research, development, production, marketing, and sale of automobiles, automobile parts, and related automobile components. It primarily offers sedans, sport utility vehicles, and electric vehicle models. The company is also involved in the research and development of automobile engines and electric hybrid engines. It also exports its products primarily to the Middle East, Asia, Europe, and Africa. The company is headquartered in Wan Chai, Hong Kong.
Receive News & Ratings for Federal Signal Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Federal Signal and related companies with MarketBeat.com's FREE daily email newsletter.