Reviewing Bouygues (OTCMKTS:BOUYF) and Shimmick (NASDAQ:SHIM)

Bouygues (OTCMKTS:BOUYF) and Shimmick (NASDAQ:SHIM) are both industrials companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, earnings, valuation, analyst recommendations, dividends, profitability and risk.

Earnings and Valuation

This table compares Bouygues and Shimmick”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bouygues	$64.34 billion	1.29	$1.29 billion	$3.80	11.55
Shimmick	$492.84 million	0.21	-$25.58 million	($0.45)	-5.58

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

Risk & Volatility

Bouygues has a beta of 0.48, suggesting that its stock price is 52% less volatile than the S&P 500. Comparatively, Shimmick has a beta of 0.85, suggesting that its stock price is 15% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Bouygues and Shimmick, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bouygues	0	2	2	0	2.50
Shimmick	1	0	2	0	2.33

Shimmick has a consensus price target of $5.50, indicating a potential upside of 119.12%. Given Shimmick’s higher probable upside, analysts clearly believe Shimmick is more favorable than Bouygues.

Insider & Institutional Ownership

6.9% of Shimmick shares are held by institutional investors. 62.9% of Shimmick shares are held by company 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.

Profitability

This table compares Bouygues and Shimmick’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bouygues	2.22%	8.64%	1.98%
Shimmick	-3.81%	N/A	-4.34%

Summary

Bouygues beats Shimmick on 9 of the 13 factors compared between the two stocks.

About Bouygues

Bouygues SA, together with its subsidiaries, operates in the construction, energy, telecom, media, and transport infrastructure sectors in France and internationally. The company designs, builds, renovates, operates, and deconstructs building, infrastructure, and industrial projects; develops urban planning, residential, and commercial projects; builds and maintains roads and motorways, airport runways, ports, industrial logistics hubs, external works and amenities, reserved-lane public transport, recreational facilities, and environmental projects, as well as undertakes civil engineering, road safety, and signaling activities; produces, distributes, sells, and recycles aggregates, emulsions, asphalt mixes, ready-mix concrete, and bitumen; construction, renewal, and maintenance of rail networks; and installation and maintenance of pipes and pipelines. It also provides design, installation, and maintenance services in various fields that include cooling and fire protection, digital and ICT, electrical, and mechanical and robotics, as well as heating, ventilation, and air conditioning. In addition, the company produces TF1, TMC, TFX, TF1, and LCI complementary TV channels; operates Ushuaïa TV, Histoire TV, TV Breizh, and Serieclub channels; produces, broadcasts, and distributes content; operates la seine musical entertainment and concert venue; and entertainment and leisure comprising licenses, podcasts, music production, and live events. Further, it offers telecom services; and mobile and fixed network services. The company was founded in 1952 and is based in Paris, France.

About Shimmick

Shimmick Corporation provides water and other critical infrastructure solutions in the United States. The company undertakes water and wastewater treatment infrastructure; water storage and conveyance, including dams, levees, flood control systems, pump stations, and coastal protection infrastructure; and mass transit, bridges, and military infrastructure projects. It serves federal, state, and local governments. The company was formerly known as SCCI National Holdings, Inc. and changed its name to Shimmick Corporation in September 2023. Shimmick Corporation was founded in 1990 and is headquartered in Irvine, California. Shimmick Corporation operates as a subsidiary of GOHO, LLC.