Critical Review: Albany International (NYSE:AIN) versus Fortran (OTCMKTS:FRTN)

Fortran (OTCMKTS:FRTN) and Albany International (NYSE:AIN) are both industrials companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, dividends, valuation, risk, profitability, institutional ownership and earnings.

Volatility and Risk

Fortran has a beta of 0.58, meaning that its share price is 42% less volatile than the S&P 500. Comparatively, Albany International has a beta of 1.31, meaning that its share price is 31% more volatile than the S&P 500.

Profitability

This table compares Fortran and Albany International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fortran	N/A	N/A	N/A
Albany International	6.44%	9.79%	5.47%

Earnings and Valuation

This table compares Fortran and Albany International”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fortran	N/A	N/A	N/A	$0.01	3.27
Albany International	$1.23 billion	1.77	$87.62 million	$2.48	29.13

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

Analyst Ratings

This is a summary of current ratings for Fortran and Albany International, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fortran	0	0	0	0	0.00
Albany International	1	1	2	1	2.60

Albany International has a consensus price target of $79.00, suggesting a potential upside of 9.37%. Given Albany International’s stronger consensus rating and higher possible upside, analysts clearly believe Albany International is more favorable than Fortran.

Insider and Institutional Ownership

97.4% of Albany International shares are owned by institutional investors. 57.1% of Fortran shares are owned by company insiders. Comparatively, 0.8% of Albany International shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Summary

Albany International beats Fortran on 12 of the 13 factors compared between the two stocks.

About Fortran

Fortran Corporation, through its subsidiaries, offers communication system integration services to media and communication sectors. The company provides communication solutions designing, sourcing, implementing, and maintenance services. Additionally, it offers mobile billboards, event marketing, conventions and trade shows, and political advertising and editorial statements. The company's subsidiaries include The New Telephone Company, Inc.; CCI-Telecom, Inc.; B & L Telephone, LLC; and Fortran Communications, Inc. Fortran Corporation was formerly known as Burke Mills Inc. and changed its name to Fortran Corporation in February 2013. Fortran Corporation was founded in 1948 and is based in Hickory, North Carolina.

About Albany International

Albany International Corp., together with its subsidiaries, engages in the machine clothing and engineered composites businesses. The company operates in two segments, Machine Clothing (MC) and Albany Engineered Composites (AEC). The MC segment designs, manufactures, and markets paper machine clothing for use in the manufacturing of papers, paperboards, tissues, towels, pulps, nonwovens, building products, tannery, and textiles, as well as fiber cement and several other industrial applications. This segment offers paper machine clothing forming, pressing, and drying fabrics, as well as engineered processing belts; and engineered fabrics. The AEC segment 3D-woven and injected composite components for aircraft engines composite airframe and engine components for military and commercial aircraft. It operates in the United States, Switzerland, France, Brazil, China, Mexico, Germany, and internationally. The company was incorporated in 1895 and is headquartered in Rochester, New Hampshire.