General Electric (NYSE:GE – Get Free Report) and Legrand (OTCMKTS:LGRDY – Get Free Report) are both transportation companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, risk, institutional ownership, valuation, earnings, analyst recommendations and dividends.
Earnings and Valuation
This table compares General Electric and Legrand”s top-line revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
General Electric | $67.95 billion | 2.91 | $9.48 billion | $5.69 | 32.13 |
Legrand | $9.11 billion | N/A | $1.24 billion | $0.86 | 23.26 |
General Electric has higher revenue and earnings than Legrand. Legrand is trading at a lower price-to-earnings ratio than General Electric, indicating that it is currently the more affordable of the two stocks.
Profitability
Net Margins | Return on Equity | Return on Assets | |
General Electric | 11.48% | 18.93% | 3.20% |
Legrand | 12.53% | 15.15% | 6.88% |
Insider and Institutional Ownership
74.8% of General Electric shares are held by institutional investors. 0.7% of General Electric shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.
Analyst Recommendations
This is a summary of recent ratings and price targets for General Electric and Legrand, as provided by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
General Electric | 0 | 2 | 14 | 0 | 2.88 |
Legrand | 0 | 0 | 1 | 0 | 3.00 |
General Electric presently has a consensus price target of $201.47, indicating a potential upside of 10.20%. Given General Electric’s higher possible upside, analysts plainly believe General Electric is more favorable than Legrand.
Volatility and Risk
General Electric has a beta of 1.19, suggesting that its stock price is 19% more volatile than the S&P 500. Comparatively, Legrand has a beta of 1, suggesting that its stock price has a similar volatility profile to the S&P 500.
Summary
General Electric beats Legrand on 10 of the 13 factors compared between the two stocks.
About General Electric
General Electric Company, doing business as GE Aerospace, designs and produces commercial and defense aircraft engines, integrated engine components, electric power, and mechanical aircraft systems. It also offers aftermarket services to support its products. The company operates in the United States, Europe, China, Asia, the Americas, the Middle East, and Africa. General Electric Company was incorporated in 1892 and is based in Evendale, Ohio.
About Legrand
Legrand SA, together with its subsidiaries, manufactures, distributes, and sells electrical and digital building infrastructures in Europe, North and Central America, and internationally. The company offers energy distribution, protection, and management solutions, such as electric vehicle charging, residential and small commercial panels, switchboards and power cabinets, and UPS devices; and wiring devices, connected home and building control solutions, and guestroom solutions, as well as back, junction, DCL, and floor boxes. It also provides security, communication, and network solutions, including access security, digital home networks, emergency lighting, fire alarms, IT networks, intercom and door entry, and nurse call systems; conduits and cable management solutions comprising trunking, ducts, tubes, floor boxes, columns and feeders, and workstation solutions; industrial products, such as enclosures, connections, transformers and power supply, marking accessories and cable ties, motor control and protection, fuse protection, and industrial plugs and sockets, as well as control, button, and signaling products; installation accessories, including wiring accessories, extension cords, multi-outlet units, cable ties and fasteners, and connection boxes and terminals; and lighting products and accessories. The company's products are used in hotels, offices, data centers, shopping centers, health care, industrial, and residential buildings. It also exports its products to approximately 170 countries. Legrand SA was founded in 1865 and is headquartered in Limoges, France.
Receive News & Ratings for General Electric Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for General Electric and related companies with MarketBeat.com's FREE daily email newsletter.