MDA Space (MDA) & Its Rivals Critical Review

MDA Space (NYSE:MDA) is one of 229 public companies in the “Aerospace & Defense” industry, but how does it contrast to its competitors? We will compare MDA Space to similar businesses based on the strength of its valuation, dividends, profitability, earnings, analyst recommendations, risk and institutional ownership.

Institutional and Insider Ownership

49.8% of shares of all “Aerospace & Defense” companies are owned by institutional investors. 12.2% of shares of all “Aerospace & Defense” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares MDA Space and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
MDA Space	$1.17 billion	$77.65 million	56.30
MDA Space Competitors	$8.54 billion	$581.16 million	28.84

MDA Space’s competitors have higher revenue and earnings than MDA Space. MDA Space is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Ratings

This is a summary of recent ratings for MDA Space and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MDA Space	0	3	6	1	2.80
MDA Space Competitors	2042	8019	12350	538	2.50

MDA Space presently has a consensus target price of $50.00, suggesting a potential upside of 64.47%. As a group, “Aerospace & Defense” companies have a potential upside of 38.63%. Given MDA Space’s stronger consensus rating and higher possible upside, equities research analysts plainly believe MDA Space is more favorable than its competitors.

Profitability

This table compares MDA Space and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MDA Space	5.68%	9.42%	4.20%
MDA Space Competitors	-303.46%	-30.49%	-4.18%

Summary

MDA Space beats its competitors on 8 of the 12 factors compared.

About MDA Space

MDA Space Ltd is a developer and manufacturer of technology and services to the space industry. It is an international space mission partner and robotics, satellite systems, and geo-intelligence pioneer. It is engaged in communications satellites, Earth and space observation, space exploration, and infrastructure. The Company collaborates and partners with governments and space agencies, commercial space companies, and defence and aerospace prime contractors in the space industry. Geographically, it generates the majority of its revenue from Canada.