Analyzing EMCOR Group (NYSE:EME) & Vinci (OTCMKTS:VCISY)

EMCOR Group (NYSE:EME) and Vinci (OTCMKTS:VCISY) are both large-cap construction companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, analyst recommendations, institutional ownership, dividends, valuation and profitability.

Insider and Institutional Ownership

92.6% of EMCOR Group shares are held by institutional investors. Comparatively, 0.4% of Vinci shares are held by institutional investors. 0.8% of EMCOR Group shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares EMCOR Group and Vinci”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EMCOR Group	$14.57 billion	1.68	$1.01 billion	$22.63	24.16
Vinci	$78.42 billion	1.09	$5.26 billion	N/A	N/A

Vinci has higher revenue and earnings than EMCOR Group.

Volatility & Risk

EMCOR Group has a beta of 1.24, meaning that its share price is 24% more volatile than the S&P 500. Comparatively, Vinci has a beta of 0.86, meaning that its share price is 14% less volatile than the S&P 500.

Profitability

This table compares EMCOR Group and Vinci’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
EMCOR Group	7.00%	37.12%	14.01%
Vinci	N/A	N/A	N/A

Dividends

EMCOR Group pays an annual dividend of $1.00 per share and has a dividend yield of 0.2%. Vinci pays an annual dividend of $1.43 per share and has a dividend yield of 3.9%. EMCOR Group pays out 4.4% of its earnings in the form of a dividend. EMCOR Group has raised its dividend for 5 consecutive years.

Analyst Recommendations

This is a summary of current recommendations for EMCOR Group and Vinci, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EMCOR Group	1	1	8	1	2.82
Vinci	0	0	0	0	0.00

EMCOR Group presently has a consensus price target of $518.00, indicating a potential downside of 5.24%. Given EMCOR Group’s stronger consensus rating and higher probable upside, analysts clearly believe EMCOR Group is more favorable than Vinci.

Summary

EMCOR Group beats Vinci on 12 of the 16 factors compared between the two stocks.

About EMCOR Group

EMCOR Group, Inc. provides construction and facilities, building, and industrial services in the United States and the United Kingdom. It offers design, integration, installation, start-up, operation, and maintenance services related to power transmission, distribution, and generation systems; energy solutions; premises electrical and lighting systems; process instrumentation; low-voltage systems; voice and data communications systems; roadway and transit lighting, signaling, and fiber optic lines; computerized traffic control systems, and signal and communication equipment; heating, ventilation, air conditioning, refrigeration, and geothermal solutions; clean-room process ventilation systems; fire protection and suppression systems; plumbing, process, and high-purity piping systems; controls and filtration systems; water and wastewater treatment systems; central plant heating and cooling systems; crane and rigging services; millwright services; and steel fabrication, erection, and welding services. The company also provides building services that covers commercial and government site-based operations and maintenance; facility management, maintenance, and services; energy efficiency retrofit services; military base operations support services; services for indoor air quality; floor care and janitorial services; landscaping, lot sweeping, and snow removal services; vendor management and call center services; installation and support for building systems; program development, management, and maintenance for energy systems; technical consulting and diagnostic services; infrastructure and building projects; modification and retrofit projects; and other building services, including reception, security, and catering services. In addition, it offers refinery turnaround planning and engineering; welding; overhaul and maintenance; instrumentation and electrical; and renewable energy services. The company was incorporated in 1987 and is headquartered in Norwalk, Connecticut.

About Vinci

Vinci SA, together with its subsidiaries, engages in concessions, energy, and construction businesses in France and internationally. The Concessions segment manages motorway concessions; operates airports; and highways, railways, and stadium. Its Energy segment provides services to the manufacturing sector, infrastructure, facilities management, and information and communication technology; and industrial and energy-related services, which includes development of renewable energy assets, as well as engineering, procurement, and construction projects in the energy sector. The Construction segment engages in designing and carrying out projects, which includes general contractor; geotechnical and structural engineering and related digital activities, as well as provision of services in nuclear engineering; proximity networks with active local companies, such as building, civil engineering, roadworks, rail works, and water works; property development, including residential and commercial properties; and management of serviced residences and property services. Vinci SA was founded in 1899 and is headquartered in Nanterre, France.