Dycom Industries (NYSE:DY – Get Free Report) and Stantec (NYSE:STN – Get Free Report) are both mid-cap industrials companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, valuation, dividends, risk, profitability, analyst recommendations and institutional ownership.
Profitability
This table compares Dycom Industries and Stantec’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Dycom Industries | 4.79% | 25.30% | 8.39% |
| Stantec | 5.91% | 19.70% | 8.07% |
Volatility & Risk
Dycom Industries has a beta of 1.5, indicating that its stock price is 50% more volatile than the S&P 500. Comparatively, Stantec has a beta of 1.01, indicating that its stock price is 1% more volatile than the S&P 500.
Institutional and Insider Ownership
Earnings & Valuation
This table compares Dycom Industries and Stantec”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Dycom Industries | $5.55 billion | 1.49 | $281.19 million | $10.99 | 25.01 |
| Stantec | $5.83 billion | 1.29 | $343.11 million | $3.21 | 20.95 |
Stantec has higher revenue and earnings than Dycom Industries. Stantec is trading at a lower price-to-earnings ratio than Dycom Industries, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a summary of recent recommendations and price targets for Dycom Industries and Stantec, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Dycom Industries | 0 | 2 | 10 | 0 | 2.83 |
| Stantec | 0 | 2 | 5 | 0 | 2.71 |
Dycom Industries currently has a consensus price target of $502.92, indicating a potential upside of 82.97%. Stantec has a consensus price target of $175.00, indicating a potential upside of 160.28%. Given Stantec’s higher possible upside, analysts clearly believe Stantec is more favorable than Dycom Industries.
Summary
Dycom Industries beats Stantec on 10 of the 14 factors compared between the two stocks.
About Dycom Industries
Dycom Industries, Inc. provides specialty contracting services to the telecommunications infrastructure and utility industries in the United States. The company offers engineering services to telecommunications providers, including the planning and design of aerial, underground, and buried fiber optic, copper, and coaxial cable systems; wireless networks in connection with the deployment of macro cell and new small cell sites; and program and project management and inspection personnel. It also provides construction, maintenance, and installation services for telephone companies and cable multiple system operators, such as placement and splicing of copper, fiber, and coaxial cables; tower construction, lines and antenna installation, foundation and equipment pad construction, and small cell site placement for wireless carriers, as well as equipment installation and material fabrication, and site testing services; underground facility locating services comprising locating telephone, cable television, power, water, sewer, and gas lines; installation and maintenance of customer premise equipment, including digital video recorders, set top boxes, and modems for cable system operators; and construction and maintenance services for electric and gas utilities, and other customers. Dycom Industries, Inc. was incorporated in 1969 and is headquartered in Palm Beach Gardens, Florida.
About Stantec
Stantec Inc. provides professional services in the areas of infrastructure and facilities to the public and private sectors in Canada, the United States, and internationally. It offers evaluation, planning, and designing infrastructure solutions; solutions for sustainable water resources, planning, management, and infrastructure; environmental services; integrated architecture, engineering, interior design, and planning solutions for buildings; and energy and resources solutions. The company also provides consulting services in engineering, architecture, interior design, landscape architecture, surveying, environmental sciences, project management, and project economics. In addition, it offers planning and design services to clients in residential, logistics, retail, infrastructure, energy, higher education, and urban regeneration sectors; architectural and interior design, and planning services in the science and technology, commercial workplace, higher education, residential, and hospitality markets. Further, the company provides transportation advisory, transport engineering, and technical design; project delivery consultancy services for mining, resources, and industrial infrastructure projects; paleontological and archaeological services for the rail, transportation, water, and power and energy sectors; and environmental and cultural resource compliance services. Additionally, it offers consulting services in sustainable building design, energy infrastructure upgrades, sustainable district heating network, and e-mobility; and planning, design, construction administration, commissioning, maintenance, decommissioning, and remediation services. The company was formerly known as Stanley Technology Group Inc. and changed its name to Stantec Inc. in October 1998. Stantec Inc. was founded in 1954 and is headquartered in Edmonton, Canada.
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