Toromont Industries (TMTNF) vs. Its Peers Head to Head Review

Toromont Industries (OTCMKTS:TMTNF) is one of 159 public companies in the “Trading Companies & Distributors” industry, but how does it compare to its peers? We will compare Toromont Industries to related businesses based on the strength of its analyst recommendations, risk, institutional ownership, profitability, earnings, valuation and dividends.

Profitability

This table compares Toromont Industries and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Toromont Industries	9.25%	16.00%	9.69%
Toromont Industries Competitors	2.87%	-33.64%	3.65%

Insider and Institutional Ownership

50.9% of shares of all “Trading Companies & Distributors” companies are owned by institutional investors. 16.7% of shares of all “Trading Companies & Distributors” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Dividends

Toromont Industries pays an annual dividend of $1.62 per share and has a dividend yield of 1.0%. Toromont Industries pays out 49.4% of its earnings in the form of a dividend. As a group, “Trading Companies & Distributors” companies pay a dividend yield of 2.9% and pay out 36.6% of their earnings in the form of a dividend. Toromont Industries lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.

Valuation & Earnings

This table compares Toromont Industries and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Toromont Industries	$3.72 billion	$355.41 million	48.11
Toromont Industries Competitors	$6.66 billion	$364.19 million	26.02

Toromont Industries’ peers have higher revenue and earnings than Toromont Industries. Toromont Industries 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.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Toromont Industries and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Toromont Industries	0	3	4	0	2.57
Toromont Industries Competitors	1408	4863	6674	227	2.43

As a group, “Trading Companies & Distributors” companies have a potential upside of 4.32%. Given Toromont Industries’ peers higher possible upside, analysts clearly believe Toromont Industries has less favorable growth aspects than its peers.

Summary

Toromont Industries peers beat Toromont Industries on 8 of the 14 factors compared.

About Toromont Industries

Toromont Industries Ltd. provides specialized capital equipment in Canada, the United States, and internationally. It operates in two segments, Equipment Group and CIMCO. The Equipment Group segment engages in the sale, rental, and service of mobile equipment for Caterpillar and other manufacturers; sale, rental, and service of engines used in various applications, including industrial, commercial, marine, on-highway trucks, and power generation; and sale of complementary and related products, parts, and services. This segment serves road building, mining, aggregates, infrastructure, residential and commercial construction, power generation, agriculture, forestry, and waste management markets. The CIMCO segment is involved in the design, engineering, fabrication, installation, and after-sale support of refrigeration systems in industrial and recreational markets. This segment primarily serves beverage and food processing, cold storage, food distribution, mining, and recreational ice rink sectors. Toromont Industries Ltd. was founded in 1961 and is headquartered in Concord, Canada.