Contrasting SolarMax Technology (NASDAQ:SMXT) and Limbach (NASDAQ:LMB)

SolarMax Technology (NASDAQ:SMXT) and Limbach (NASDAQ:LMB) are both small-cap oils/energy companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, dividends, earnings, risk, analyst recommendations, valuation and profitability.

Profitability

This table compares SolarMax Technology and Limbach’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SolarMax Technology	N/A	N/A	N/A
Limbach	4.02%	18.87%	7.30%

Valuation & Earnings

This table compares SolarMax Technology and Limbach’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SolarMax Technology	$54.14 million	6.65	N/A	N/A	N/A
Limbach	$516.35 million	0.92	$20.75 million	$1.78	23.88

Limbach has higher revenue and earnings than SolarMax Technology.

Institutional and Insider Ownership

55.9% of Limbach shares are held by institutional investors. 15.5% of Limbach shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and target prices for SolarMax Technology and Limbach, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SolarMax Technology	0	0	0	0	N/A
Limbach	0	0	2	0	3.00

Limbach has a consensus price target of $39.00, indicating a potential downside of 8.26%. Given Limbach’s higher probable upside, analysts clearly believe Limbach is more favorable than SolarMax Technology.

Summary

Limbach beats SolarMax Technology on 8 of the 9 factors compared between the two stocks.

About SolarMax Technology

SolarMax Technology, Inc., through its subsidiaries, operates as an integrated solar energy company in the United States and China. The company engages in the sale and installation of photovoltaic and battery backup systems; financing the sale of photovoltaic and battery backup systems; sale of LED systems; and identifying and procuring solar farm projects for resale to third parties, as well as provision of engineering, procuring, and construction services for solar farm projects. It serves residential, commercial, and government customers. The Company was incorporated in 2008 and is based in Riverside, California.

About Limbach

Limbach Holdings, Inc. operates as a building systems solution company in the United States. It operates through two segments, General Contractor Relationships and Owner Direct Relationships. The company engages in the construction and renovation projects that involve primarily include mechanical, plumbing, and electrical services. It also provides critical system repair, MEP infrastructure projects, maintenance contracts, building automation upgrades, data driven insights, and program management services. In addition, it offers captive engineering capabilities, estimating and virtual design; and professional engineering, energy analysis, estimation, and detail design and three-dimensional building installation coordination services. The company serves research, acute care, and inpatient hospitals; public and private colleges, universities, research centers; sports arenas; entertainment facilities, and amusement rides and parks; data centers; automotive, energy and general manufacturing plants; and life sciences, including organizations and companies, whose work is centered around research and development focused on living things. Limbach Holdings, Inc. was founded in 1901 and is headquartered in Warrendale, Pennsylvania.