Analyzing Assa Abloy (OTCMKTS:ASAZY) & Life360 (NASDAQ:LIF)

Assa Abloy (OTCMKTS:ASAZY) and Life360 (NASDAQ:LIF) are both industrials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, earnings, profitability, valuation and dividends.

Volatility and Risk

Assa Abloy has a beta of 1.17, indicating that its stock price is 17% more volatile than the S&P 500. Comparatively, Life360 has a beta of 2.63, indicating that its stock price is 163% more volatile than the S&P 500.

Insider and Institutional Ownership

20.0% of Life360 shares are owned by institutional investors. 6.8% of Life360 shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and target prices for Assa Abloy and Life360, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Assa Abloy	1	2	2	2	2.71
Life360	1	4	5	1	2.55

Life360 has a consensus target price of $63.94, suggesting a potential upside of 32.83%. Given Life360’s higher probable upside, analysts plainly believe Life360 is more favorable than Assa Abloy.

Earnings and Valuation

This table compares Assa Abloy and Life360″s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Assa Abloy	$15.58 billion	2.51	$1.50 billion	$0.76	23.16
Life360	$489.48 million	7.97	$150.83 million	$1.73	27.83

Assa Abloy has higher revenue and earnings than Life360. Assa Abloy is trading at a lower price-to-earnings ratio than Life360, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Assa Abloy and Life360’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Assa Abloy	10.51%	15.93%	7.58%
Life360	28.21%	6.80%	3.65%

Summary

Life360 beats Assa Abloy on 9 of the 15 factors compared between the two stocks.

About Assa Abloy

ASSA ABLOY AB (publ) provides door opening and access products, solutions, and services for the institutional, commercial, and residential markets in Europe, the Middle East, India, Africa, North and South America, Asia, and Oceania. The company provides digital access solutions, such as electronic access control ecosystem, wireless solutions, electronic key solutions, standalone access solutions, and wired solutions; swing, revolving, and sliding doors; mechanical products, including hinges, lever handles, mortise lockcases, euro profile cylinders, panic exit devices, door closers, floor spring, and general hardware; and doors. It offers Openings Studio, a building information modeling software ecosystem is collaboration tool for designing, documenting, and managing openings. The company provides its products primarily under the ASSA ABLOY, Yale, and HID brands. It sells its products through distributors and wholesalers. The company serves aviation, education, distribution and logistics, entertainment and public facility, finance and banking, government and military, healthcare, hospitality, manufacturing, mining, office and enterprise, homes and residence, retail, shipyards, and transportation industries. ASSA ABLOY AB (publ) was incorporated in 1954 and is based in Stockholm, Sweden.

About Life360

Life360 Inc. is a family connection and safety company. Its business category includes mobile app and Tile tracking devices with a range of services, including location sharing, safe driver reports and crash detection with emergency dispatch. Life360 Inc. is based in SAN FRANCISCO.