Critical Review: Rail Vision (RVSN) versus Its Competitors

Rail Vision (NASDAQ:RVSN) is one of 378 publicly-traded companies in the “Electronic Equipment, Instruments & Components” industry, but how does it compare to its peers? We will compare Rail Vision to related companies based on the strength of its valuation, earnings, risk, dividends, analyst recommendations, institutional ownership and profitability.

Analyst Recommendations

This is a breakdown of recent ratings for Rail Vision and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rail Vision	1	1	0	0	1.50
Rail Vision Competitors	1979	7493	10209	625	2.47

As a group, “Electronic Equipment, Instruments & Components” companies have a potential upside of 18.37%. Given Rail Vision’s peers stronger consensus rating and higher probable upside, analysts plainly believe Rail Vision has less favorable growth aspects than its peers.

Profitability

This table compares Rail Vision and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rail Vision	N/A	N/A	N/A
Rail Vision Competitors	-184.59%	-150.55%	-6.97%

Earnings and Valuation

This table compares Rail Vision and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Rail Vision	$1.49 million	-$11.10 million	-0.07
Rail Vision Competitors	$4.02 billion	$191.30 million	-6.61

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

Volatility & Risk

Rail Vision has a beta of -1.16, suggesting that its stock price is 216% less volatile than the S&P 500. Comparatively, Rail Vision’s peers have a beta of -0.25, suggesting that their average stock price is 125% less volatile than the S&P 500.

Insider and Institutional Ownership

12.1% of Rail Vision shares are held by institutional investors. Comparatively, 43.5% of shares of all “Electronic Equipment, Instruments & Components” companies are held by institutional investors. 8.7% of Rail Vision shares are held by company insiders. Comparatively, 16.5% of shares of all “Electronic Equipment, Instruments & Components” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Rail Vision peers beat Rail Vision on 9 of the 13 factors compared.

About Rail Vision

Rail Vision Ltd. designs, develops, assembles, and sells railway detection systems for railway operational safety, efficiency, and predictive maintenance in Israel. The company's railway detection systems include various cameras, such as optics, visible light spectrum cameras (video), and thermal cameras that transmit data to a ruggedized on-board computer that is designed to be suitable for the rough environment of a train's locomotive. It offers main line systems for the safety of train operations, prevention of collisions, and reduction of downtime; railway detection system for passengers and freight trains; shunting yard systems for shunting operations; and light rail vehicle systems for detecting and classifying obstacles. The company also provides rail vision big data services, as well as maintenance and predictive maintenance systems; and geographic information systems for mapping and updates. Rail Vision Ltd. was incorporated in 2016 and is headquartered in Ra'anana, Israel.