Matson (NYSE:MATX – Get Free Report) and EuroDry (NASDAQ:EDRY – Get Free Report) are both industrials companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, dividends, valuation, risk, analyst recommendations, earnings and profitability.
Risk and Volatility
Matson has a beta of 1.33, meaning that its stock price is 33% more volatile than the S&P 500. Comparatively, EuroDry has a beta of 0.82, meaning that its stock price is 18% less volatile than the S&P 500.
Analyst Ratings
This is a summary of recent ratings for Matson and EuroDry, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Matson | 0 | 1 | 5 | 0 | 2.83 |
| EuroDry | 1 | 1 | 2 | 0 | 2.25 |
Matson currently has a consensus target price of $259.25, suggesting a potential upside of 25.72%. EuroDry has a consensus target price of $23.50, suggesting a potential downside of 39.05%. Given Matson’s stronger consensus rating and higher possible upside, analysts plainly believe Matson is more favorable than EuroDry.
Insider and Institutional Ownership
84.8% of Matson shares are owned by institutional investors. Comparatively, 2.4% of EuroDry shares are owned by institutional investors. 2.5% of Matson shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.
Profitability
This table compares Matson and EuroDry’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Matson | 14.58% | 19.55% | 11.60% |
| EuroDry | 15.02% | 8.77% | 4.34% |
Valuation and Earnings
This table compares Matson and EuroDry”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Matson | $3.34 billion | 1.84 | $444.80 million | $17.68 | 11.66 |
| EuroDry | $52.26 million | 2.12 | -$4.26 million | $3.31 | 11.65 |
Matson has higher revenue and earnings than EuroDry. EuroDry is trading at a lower price-to-earnings ratio than Matson, indicating that it is currently the more affordable of the two stocks.
Summary
Matson beats EuroDry on 12 of the 14 factors compared between the two stocks.
About Matson
Matson, Inc. is a transportation company focused on ocean shipping and logistics. Founded in 1882 by Captain William Matson, the company has a long history of connecting communities and businesses across the Pacific. Matson provides ocean transportation services to Hawaii, Alaska, Guam, Micronesia, and the South Pacific, as well as a service linking China with the U.S. West Coast. Its operations include container shipping and the transport of goods such as vehicles and other cargo. Through its logistics business, Matson also offers freight forwarding, intermodal transportation, and supply chain services.
About EuroDry
EuroDry Ltd. (NASDAQ: EDRY) is a dry bulk shipping company that owns and operates vessels used to transport a range of essential commodities. Its cargoes may include iron ore, grain, coal, steel products, forest products and other dry bulk materials. The company’s fleet has primarily consisted of smaller dry bulk vessels, including Handy-size and Supramax-class ships. These vessels serve international trade routes and are employed through time charters, voyage charters and other commercial arrangements, depending on market conditions and customer requirements.
Receive News & Ratings for Matson Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Matson and related companies with MarketBeat.com's FREE daily email newsletter.
