Perma-Pipe International (PPIH) versus Its Peers Head-To-Head Analysis

Perma-Pipe International (NASDAQ:PPIH) is one of 436 public companies in the “Machinery” industry, but how does it compare to its rivals? We will compare Perma-Pipe International to similar businesses based on the strength of its dividends, earnings, profitability, valuation, risk, analyst recommendations and institutional ownership.

Institutional & Insider Ownership

28.4% of Perma-Pipe International shares are held by institutional investors. Comparatively, 52.6% of shares of all “Machinery” companies are held by institutional investors. 1.1% of Perma-Pipe International shares are held by insiders. Comparatively, 13.8% of shares of all “Machinery” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Perma-Pipe International and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Perma-Pipe International	$210.93 million	$17.03 million	15.87
Perma-Pipe International Competitors	$4.52 billion	$348.45 million	-12.73

Perma-Pipe International’s rivals have higher revenue and earnings than Perma-Pipe International. Perma-Pipe International 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.

Volatility and Risk

Perma-Pipe International has a beta of 0.58, meaning that its share price is 42% less volatile than the S&P 500. Comparatively, Perma-Pipe International’s rivals have a beta of 4.49, meaning that their average share price is 349% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Perma-Pipe International and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perma-Pipe International	0	1	0	0	2.00
Perma-Pipe International Competitors	4060	14475	17887	774	2.41

Perma-Pipe International currently has a consensus price target of $36.00, suggesting a potential upside of 34.23%. As a group, “Machinery” companies have a potential upside of 27.81%. Given Perma-Pipe International’s higher possible upside, equities research analysts clearly believe Perma-Pipe International is more favorable than its rivals.

Profitability

This table compares Perma-Pipe International and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Perma-Pipe International	6.47%	15.92%	6.57%
Perma-Pipe International Competitors	-1,929.90%	-12.09%	0.74%

Summary

Perma-Pipe International rivals beat Perma-Pipe International on 8 of the 13 factors compared.

Perma-Pipe International Company Profile

Perma-Pipe International Holdings, Inc., together with its subsidiaries, engineers, designs, manufactures, and sells specialty piping and leak detection systems. It offers insulated and jacketed district heating and cooling piping systems for energy distribution from central energy plants to various locations; and primary and secondary containment piping systems for transporting chemicals, hazardous fluids, and petroleum products, as well as engages in the coating and insulation of oil and gas gathering and transmission pipelines. The company also offers liquid and powder based anti-corrosion coatings for external and internal surfaces of steel pipe, including shapes like bends, reducers, tees, and other spools/fittings that is used in pipelines for the transportation of oil and gas products and potable water. It has operations in the United States, Canada, the Middle East, North Africa, Europe, India, and internationally. The company was formerly known as MFRI, Inc. and changed its name to Perma-Pipe International Holdings, Inc. in March 2017. Perma-Pipe International Holdings, Inc. was incorporated in 1993 and is headquartered in Spring, Texas.