Contrasting Astec Industries (ASTE) and The Competition

Astec Industries (NASDAQ:ASTEGet Free Report) is one of 437 publicly-traded companies in the “Machinery” industry, but how does it compare to its rivals? We will compare Astec Industries to related businesses based on the strength of its valuation, analyst recommendations, institutional ownership, earnings, profitability, dividends and risk.

Profitability

This table compares Astec Industries and its rivals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Astec Industries 1.26% 10.26% 5.01%
Astec Industries Competitors -1,938.44% -13.20% 0.77%

Valuation and Earnings

This table compares Astec Industries and its rivals gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Astec Industries $1.41 billion $38.80 million 51.98
Astec Industries Competitors $4.46 billion $345.47 million 3.84

Astec Industries’ rivals have higher revenue and earnings than Astec Industries. Astec Industries is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Risk and Volatility

Astec Industries has a beta of 1.36, suggesting that its share price is 36% more volatile than the S&P 500. Comparatively, Astec Industries’ rivals have a beta of 4.48, suggesting that their average share price is 348% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and target prices for Astec Industries and its rivals, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Astec Industries 0 2 0 2 3.00
Astec Industries Competitors 4048 14430 17820 762 2.41

As a group, “Machinery” companies have a potential upside of 24.17%. Given Astec Industries’ rivals higher probable upside, analysts clearly believe Astec Industries has less favorable growth aspects than its rivals.

Dividends

Astec Industries pays an annual dividend of $0.52 per share and has a dividend yield of 1.2%. Astec Industries pays out 61.2% of its earnings in the form of a dividend. As a group, “Machinery” companies pay a dividend yield of 2.3% and pay out 27.3% of their earnings in the form of a dividend. Astec Industries lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Institutional and Insider Ownership

93.2% of Astec Industries shares are held by institutional investors. Comparatively, 52.6% of shares of all “Machinery” companies are held by institutional investors. 1.0% of Astec Industries shares are held by company insiders. Comparatively, 13.8% of shares of all “Machinery” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Astec Industries rivals beat Astec Industries on 8 of the 15 factors compared.

About Astec Industries

(Get Free Report)

Astec Industries, Inc. designs, engineers, manufactures, and markets equipment and components used primarily in road building and related construction activities worldwide. The company operates in two segments, Infrastructure Solutions and Materials Solutions. The Infrastructure Solutions segment offers asphalt plants and related components, heaters, concrete dust control systems, asphalt pavers, vaporizers, concrete material handling systems, screeds, heat recovery units, paste back-fill plants, asphalt storage tanks, hot oil heaters, bagging plants, fuel storage tanks, industrial and asphalt burners and systems, custom batch plants, material transfer vehicles, soil stabilizing-reclaiming machinery, blower trucks and trailers, milling machines, soil remediation plants, wood chippers and grinders, pump trailers, concrete batch plants, control systems, liquid terminals, storage equipment and related parts, construction and retrofits, polymer plants, and concrete mixers, as well as engineering and environmental permitting services. This segment provides its products to asphalt producers; highway and heavy equipment contractors; utility contractors; sand and gravel producers; construction, demolition, recycle and crushing contractors; forestry and environmental recycling contractors; mine and quarry operators; port and inland terminal authorities; power stations; and domestic and foreign government agencies. The Materials Solutions segment designs and manufactures crushing equipment, mobile plants, bulk material handling solutions, vibrating equipment, screening equipment, electrical control centers, modular plants and systems, conveying equipment, plant automation products, portable plants, and mineral processing equipment, as well as offers consulting and engineering services. The company was incorporated in 1972 and is headquartered in Chattanooga, Tennessee.

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