Stratasys (NASDAQ:SSYS – Get Free Report) and L.B. Foster (NASDAQ:FSTR – Get Free Report) are both small-cap industrials companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, risk, analyst recommendations, profitability, dividends, valuation and earnings.
Analyst Recommendations
This is a summary of current recommendations for Stratasys and L.B. Foster, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Stratasys | 1 | 1 | 4 | 0 | 2.50 |
| L.B. Foster | 0 | 3 | 1 | 0 | 2.25 |
Stratasys presently has a consensus price target of $12.33, indicating a potential upside of 88.58%. L.B. Foster has a consensus price target of $32.00, indicating a potential downside of 24.37%. Given Stratasys’ stronger consensus rating and higher possible upside, analysts clearly believe Stratasys is more favorable than L.B. Foster.
Insider & Institutional Ownership
75.8% of Stratasys shares are held by institutional investors. Comparatively, 80.6% of L.B. Foster shares are held by institutional investors. 4.3% of Stratasys shares are held by insiders. Comparatively, 7.6% of L.B. Foster shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Risk & Volatility
Stratasys has a beta of 1.83, meaning that its stock price is 83% more volatile than the S&P 500. Comparatively, L.B. Foster has a beta of 1.17, meaning that its stock price is 17% more volatile than the S&P 500.
Profitability
This table compares Stratasys and L.B. Foster’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Stratasys | -21.05% | -1.77% | -1.38% |
| L.B. Foster | 2.35% | 8.83% | 4.79% |
Valuation and Earnings
This table compares Stratasys and L.B. Foster”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Stratasys | $551.10 million | 1.05 | -$104.29 million | ($1.34) | -4.88 |
| L.B. Foster | $540.01 million | 0.82 | $7.55 million | $1.29 | 32.80 |
L.B. Foster has lower revenue, but higher earnings than Stratasys. Stratasys is trading at a lower price-to-earnings ratio than L.B. Foster, indicating that it is currently the more affordable of the two stocks.
Summary
L.B. Foster beats Stratasys on 8 of the 14 factors compared between the two stocks.
About Stratasys
Stratasys is a global provider of polymer 3D printing and additive manufacturing solutions. Its offerings include 3D printers, printing materials, software and related services for designing and producing prototypes, tools and end-use parts. The company serves customers across industries such as aerospace, automotive, healthcare, consumer products and education. Its technologies include Fused Deposition Modeling (FDM), PolyJet and stereolithography, supporting a range of applications from product development to manufacturing.
About L.B. Foster
L.B. Foster Company is a global manufacturer, distributor and solutions provider serving the rail, construction and infrastructure markets. Founded in 1902, the company has a long history of supplying products and services for transportation and infrastructure projects. Its rail offerings include trackwork and other rail products, along with engineering, friction-management and condition-monitoring solutions. For infrastructure and construction customers, L.B. Foster supplies products such as precast concrete, steel components and bridge-related systems, as well as coatings and related services.
Receive News & Ratings for Stratasys Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Stratasys and related companies with MarketBeat.com's FREE daily email newsletter.
