Critical Analysis: EnSync (ESNC) and Arotech Corporation (ARTX)

EnSync (NASDAQ: ESNC) and Arotech Corporation (NASDAQ:ARTX) are both small-cap industrials companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, dividends, risk, institutional ownership, earnings and analyst recommendations.

Valuation & Earnings

This table compares EnSync and Arotech Corporation’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
EnSync $10.73 million 1.71 -$18.15 million N/A N/A
Arotech Corporation $89.59 million 0.98 $4.70 million ($0.11) -30.45

Arotech Corporation has higher revenue and earnings than EnSync.

Institutional & Insider Ownership

21.1% of Arotech Corporation shares are held by institutional investors. 9.2% of Arotech Corporation shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for EnSync and Arotech Corporation, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
EnSync 0 0 2 0 3.00
Arotech Corporation 0 0 2 0 3.00

EnSync currently has a consensus price target of $1.75, suggesting a potential upside of 358.72%. Arotech Corporation has a consensus price target of $4.75, suggesting a potential upside of 41.79%. Given EnSync’s higher probable upside, research analysts clearly believe EnSync is more favorable than Arotech Corporation.

Profitability

This table compares EnSync and Arotech Corporation’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
EnSync -9,073.13% -264.98% -73.94%
Arotech Corporation -3.09% 3.20% 1.90%

Summary

Arotech Corporation beats EnSync on 7 of the 9 factors compared between the two stocks.

EnSync Company Profile

EnSync, Inc. is engaged in developing, licensing and manufacturing energy management systems solutions serving the commercial and industrial (C&I) building, utility, and off-grid markets. The Company develops and commercializes product and service solutions for the distributed energy generation market, including energy management systems, energy storage systems, applications, and Internet of energy platforms that link distributed energy resources with the grid network. The Company’s products include Matrix energy management system and advanced energy storage products. The Matrix Energy Management System is a behind the meter energy control system, which focuses at the commercial, industrial and multi-tenant building markets. Matrix Energy Management System offers swappable drawers that can be replaced without taking the entire distributed generation system off line. The Company’s Agile Hybrid Storage System is a technology that combines a range of storage units.

Arotech Corporation Company Profile

Arotech Corporation is a defense and security products and services company, engaged in providing interactive simulation for military, law enforcement and commercial markets, and batteries and charging systems for the military, commercial and medical markets. The Company operates through two segments: Training and Simulation Division, and Power Systems Division. The Company’s Training and Simulation Division develops, manufactures and markets multimedia and interactive digital solutions for engineering, use-of-force training and operator training of military, law enforcement, security, emergency services and other personnel. The Company’s Power Systems Division provides battery solutions, energy management and power distribution technologies and product design and manufacturing services for the aerospace, defense, law enforcement, homeland security markets, and it manufactures and sells rechargeable batteries for defense and security products and medical and industrial applications.

What are top analysts saying about EnSync Inc? - Enter your email address in the form below to receive our free daily email newsletter that contains the latest headlines and analysts' recommendations for for EnSync Inc and related companies.

Comments

Leave a Reply


share news on Facebook
tweet this investment news
share on linkedin
share on StockTwits
share on Google Plus
share on reddit