Head to Head Contrast: Astronics (OTCMKTS:ATROB) vs. Ducommun (NYSE:DCO)

Ducommun (NYSE:DCO) and Astronics (OTCMKTS:ATROB) are both mid-cap industrials companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, analyst recommendations, profitability, institutional ownership and risk.

Valuation and Earnings

This table compares Ducommun and Astronics”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ducommun	$824.73 million	2.55	-$37.35 million	$3.32	41.94
Astronics	$862.13 million	2.82	$29.36 million	$3.04	18.57

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

Insider & Institutional Ownership

92.2% of Ducommun shares are owned by institutional investors. 5.0% of Ducommun shares are owned by company insiders. Comparatively, 16.0% of Astronics shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk and Volatility

Ducommun has a beta of 1.11, suggesting that its share price is 11% more volatile than the S&P 500. Comparatively, Astronics has a beta of 1.33, suggesting that its share price is 33% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Ducommun and Astronics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ducommun	0	3	5	0	2.62
Astronics	0	1	0	0	2.00

Ducommun currently has a consensus price target of $196.67, suggesting a potential upside of 41.23%. Given Ducommun’s stronger consensus rating and higher probable upside, analysts clearly believe Ducommun is more favorable than Astronics.

Profitability

This table compares Ducommun and Astronics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ducommun	5.89%	9.52%	5.37%
Astronics	14.21%	73.50%	16.59%

Summary

Astronics beats Ducommun on 8 of the 14 factors compared between the two stocks.

About Ducommun

Ducommun Inc. is a provider of engineering and manufacturing services for the aerospace, defense and industrial markets. Founded in 1849 in Los Angeles, the company began as a hardware business before expanding into manufacturing components for aerospace and defense applications. Ducommun operates through its Electronic Systems and Structural Systems businesses. Its products and services include electronic and electromechanical assemblies, circuit-card assemblies, interconnect systems, precision-machined parts, structural components and composite assemblies.

About Astronics

Astronics Corporation develops and manufactures technologies for the aerospace, defense and other mission-critical markets. Its aerospace products include aircraft lighting and safety systems, electrical power generation and distribution equipment, cabin electronics, connectivity solutions and aircraft structures. The company also provides automated test systems and related equipment used by aerospace and defense organizations and other manufacturers. Astronics serves customers in North America and internationally, including commercial aviation, business aviation and military markets.