Northwest Pipe (NWPX) and Allegheny Technologies (ATI) Critical Survey

Northwest Pipe (NASDAQ: NWPX) and Allegheny Technologies (NYSE:ATI) are both industrial products companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.

Analyst Recommendations

How to Become a New Pot Stock Millionaire

This is a summary of recent recommendations and price targets for Northwest Pipe and Allegheny Technologies, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Northwest Pipe 0 0 1 0 3.00
Allegheny Technologies 1 2 6 0 2.56

Allegheny Technologies has a consensus price target of $29.22, suggesting a potential upside of 13.48%. Given Allegheny Technologies’ higher probable upside, analysts clearly believe Allegheny Technologies is more favorable than Northwest Pipe.

Risk and Volatility

Northwest Pipe has a beta of 1.12, meaning that its stock price is 12% more volatile than the S&P 500. Comparatively, Allegheny Technologies has a beta of 2.39, meaning that its stock price is 139% more volatile than the S&P 500.

Profitability

This table compares Northwest Pipe and Allegheny Technologies’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Northwest Pipe -7.65% -3.52% -3.11%
Allegheny Technologies -2.61% 3.47% 1.06%

Valuation & Earnings

This table compares Northwest Pipe and Allegheny Technologies’ gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Northwest Pipe $132.78 million 1.40 -$10.16 million ($0.65) -29.52
Allegheny Technologies $3.53 billion 0.92 -$91.89 million $0.48 53.65

Northwest Pipe has higher earnings, but lower revenue than Allegheny Technologies. Northwest Pipe is trading at a lower price-to-earnings ratio than Allegheny Technologies, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

84.6% of Northwest Pipe shares are held by institutional investors. 2.0% of Northwest Pipe shares are held by insiders. Comparatively, 1.0% of Allegheny Technologies shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Allegheny Technologies beats Northwest Pipe on 9 of the 14 factors compared between the two stocks.

Northwest Pipe Company Profile

Northwest Pipe Company is a manufacturer of engineered steel pipe water systems. The Company produces steel pipeline systems for use in drinking water infrastructure, and has approximately eight manufacturing facilities, located in Portland, Oregon; Denver, Colorado; Adelanto, California; Parkersburg, West Virginia; Saginaw, Texas; St. Louis, Missouri; Salt Lake City, Utah, and Monterrey, Mexico. The Company, through Water Transmission Group, produces engineered welded steel pipe products for use in water transmission applications. The Company’s solutions-based products are used in water transmission, plant piping, tunnels and river crossings applications.

Allegheny Technologies Company Profile

Allegheny Technologies Incorporated manufactures and sells specialty materials and components worldwide. The company operates through two segments, High Performance Materials & Components, and Flat-Rolled Products. The High Performance Materials & Components segment produces, converts, and distributes a range of high performance materials, including titanium and titanium-based alloys; nickel-and cobalt-based alloys and superalloys; zirconium and related alloys, such as hafnium and niobium; powder alloys; and other specialty materials in long product forms of ingots, billets, bars, rods, wires, and shapes and rectangles, as well as seamless tubes, plus precision forgings, castings, components, and machined parts. This segment serves aerospace and defense, medical, oil and gas, and electrical energy markets. The Flat-Rolled Products segment provides stainless steel, nickel-based alloys, specialty alloys, and titanium and titanium-based alloys in various product forms, including plate, sheet, engineered strip, and Precision Rolled Strip products. This segment serves various markets, such as chemical and hydrocarbon processing, automotive, aerospace and defense, food processing equipment and appliances, construction and mining, electronics, communication equipment, and computers. Allegheny Technologies Incorporated was founded in 1960 and is based in Pittsburgh, Pennsylvania.

Receive News & Ratings for Northwest Pipe Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Northwest Pipe and related companies with MarketBeat.com's FREE daily email newsletter.

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