SiteOne Landscape Supply (NYSE:SITE) & Richelieu Hardware (OTCMKTS:RHUHF) Critical Comparison

Richelieu Hardware (OTCMKTS:RHUHF) and SiteOne Landscape Supply (NYSE:SITE) are both industrials companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, institutional ownership, analyst recommendations, risk, valuation, dividends and profitability.

Profitability

This table compares Richelieu Hardware and SiteOne Landscape Supply’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Richelieu Hardware	N/A	N/A	N/A
SiteOne Landscape Supply	3.41%	9.76%	4.83%

Insider & Institutional Ownership

62.6% of Richelieu Hardware shares are owned by institutional investors. 2.1% of SiteOne Landscape Supply shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings for Richelieu Hardware and SiteOne Landscape Supply, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Richelieu Hardware	0	0	0	0	0.00
SiteOne Landscape Supply	2	5	7	0	2.36

SiteOne Landscape Supply has a consensus price target of $135.27, suggesting a potential upside of 40.56%. Given SiteOne Landscape Supply’s stronger consensus rating and higher possible upside, analysts clearly believe SiteOne Landscape Supply is more favorable than Richelieu Hardware.

Valuation & Earnings

This table compares Richelieu Hardware and SiteOne Landscape Supply”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Richelieu Hardware	N/A	N/A	N/A	$2.47	10.23
SiteOne Landscape Supply	$4.77 billion	0.88	$155.40 million	$3.65	26.37

SiteOne Landscape Supply has higher revenue and earnings than Richelieu Hardware. Richelieu Hardware is trading at a lower price-to-earnings ratio than SiteOne Landscape Supply, indicating that it is currently the more affordable of the two stocks.

Summary

SiteOne Landscape Supply beats Richelieu Hardware on 10 of the 11 factors compared between the two stocks.

About Richelieu Hardware

Richelieu Hardware Ltd. manufactures, imports, and distributes specialty hardware and complementary products in Canada and the United States. The company's principal product categories include furniture, glass and building decorative, and functional hardware; lighting systems; finishing and decorating products; ergonomic workstation components; kitchen and closet storage solutions; sliding door systems; decorative and functional panels; high-pressure laminates; railing and balusters; floor protection products; and power tool accessories. It manufactures veneer sheets and edge banding products; various decorative moldings and components for the window and door industry; and custom products. The company serves kitchen and bathroom cabinet, storage and closet, home furnishing, and office furniture manufacturers; door and window manufacturers; residential and commercial woodworkers; and hardware retailers, such as renovation superstores. Richelieu Hardware Ltd. was founded in 1968 and is headquartered in Montreal, Canada.

About SiteOne Landscape Supply

SiteOne Landscape Supply, Inc., together with its subsidiaries, engages in the wholesale distribution of landscape supplies in the United States and Canada. The company provides irrigation products, including controllers, valves, sprinkler heads, irrigation pipes, micro irrigation, and drip products; fertilizer, grass seed, and ice melt products; control products, such as herbicides, fungicides, rodenticides, and other pesticides; landscape accessories that include mulches, soil amendments, drainage pipes, tools, and sods; nursery goods, which consist of deciduous and evergreen shrubs, ornamental, shade, evergreen trees, field grown and container-grown nursery stock, roses, perennials, annuals, bulbs, and plant species and cultivars; hardscapes, such as pavers, natural stones, blocks, and other durable materials; and outdoor lighting products that include lighting fixtures, LED lamps, wires, transformers, and accessories. It also offers consultative services consisting of assistance with irrigation project take-offs, commercial project planning, generation of sales leads, business operations, and product support services, as well as a series of technical and business management seminars; and distributes branded products of third parties. The company offers its products under the LESCO, SiteOne Green Tech, and Pro-Trade brand names. It markets its products primarily to residential and commercial landscape professionals who specializes in the design, installation, and maintenance of lawns, gardens, golf courses, and other outdoor spaces through branch network and direct distribution. SiteOne Landscape Supply, Inc. was incorporated in 2013 and is headquartered in Roswell, Georgia.