Head to Head Analysis: Taylor Devices (NASDAQ:TAYD) vs. Omnitek Engineering (OTCMKTS:OMTK)

Taylor Devices (NASDAQ:TAYD) and Omnitek Engineering (OTCMKTS:OMTK) are both small-cap industrials companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, valuation, profitability, analyst recommendations, institutional ownership, risk and dividends.

Analyst Recommendations

This is a summary of current recommendations for Taylor Devices and Omnitek Engineering, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Taylor Devices	0	2	0	0	2.00
Omnitek Engineering	0	0	0	0	0.00

Profitability

This table compares Taylor Devices and Omnitek Engineering’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Taylor Devices	21.52%	15.77%	14.31%
Omnitek Engineering	18.62%	-20.38%	27.57%

Risk and Volatility

Taylor Devices has a beta of 0.94, indicating that its share price is 6% less volatile than the S&P 500. Comparatively, Omnitek Engineering has a beta of 0.24, indicating that its share price is 76% less volatile than the S&P 500.

Institutional & Insider Ownership

17.6% of Taylor Devices shares are held by institutional investors. 8.9% of Taylor Devices shares are held by company insiders. Comparatively, 45.5% of Omnitek Engineering shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Taylor Devices and Omnitek Engineering”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Taylor Devices	$48.26 million	3.61	$9.41 million	$3.30	16.42
Omnitek Engineering	$1.45 million	0.18	$270,000.00	$0.02	0.60

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

Summary

Taylor Devices beats Omnitek Engineering on 10 of the 12 factors compared between the two stocks.

About Taylor Devices

Taylor Devices, Inc. engages in design, development, manufacture, and marketing of shock absorption, rate control, and energy storage devices for use in machinery, equipment, and structures in the United States, Asia, and internationally. Its products include seismic dampers that are designed to mitigate the effects of earthquakes on structures; Fluidicshoks, which are compact shock absorbers primarily used in defense, aerospace, and commercial industries; and crane and industrial buffers, which are larger versions of the Fluidicshoks for industrial application on cranes and crane trolleys, truck docks, ladle and ingot cars, ore trolleys, and train car stops. The company's products also comprise self-adjusting shock absorbers that include versions of Fluidicshoks, and crane and industrial buffers, which automatically adjust to various impact conditions and are designed for high cycle application primarily in the heavy industry; liquid die springs that are used as component parts of machinery and equipment used in the manufacture of tools and dies; vibration dampers, which are primarily used by aerospace and defense industries to control the response of electronics and optical systems subjected to air, ship, or spacecraft vibration; machined springs used in the aerospace applications; and custom actuators for special aerospace and defense applications. It markets its products through a network of sales representatives and distributors. The company was incorporated in 1955 and is headquartered in North Tonawanda, New York.

About Omnitek Engineering

Omnitek Engineering Corp. develops and sells technology to convert diesel engines to an alternative fuel, natural gas engines, and complementary products in the United States and internationally. It offers conversion kits for converting diesel engines to run on an alternative fuel, including compressed, liquefied, and renewable natural gas, as well as liquid petroleum gas; natural gas engines and components; and high-pressure natural gas coalescing filters. The company's products are used for stationary applications; and the transportation market, such as light commercial vehicles, minibuses, heavy-duty trucks, and municipal buses, as well as rail and marine applications. It sells and delivers its products through its distributors, system integrators, fleet operators, and engine conversion companies, as well as directly to end-users. The company was incorporated in 2001 and is headquartered in Vista, California.