Financial Contrast: Resideo Technologies (NYSE:REZI) versus Tecnoglass (NYSE:TGLS)

Resideo Technologies (NYSE:REZI) and Tecnoglass (NYSE:TGLS) are both mid-cap industrials companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, dividends, earnings, risk, analyst recommendations, profitability and valuation.

Analyst Ratings

This is a breakdown of current ratings and price targets for Resideo Technologies and Tecnoglass, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Resideo Technologies	0	3	5	0	2.62
Tecnoglass	0	2	3	0	2.60

Resideo Technologies presently has a consensus target price of $30.40, suggesting a potential upside of 32.75%. Tecnoglass has a consensus target price of $63.33, suggesting a potential upside of 33.89%. Given Tecnoglass’ higher possible upside, analysts plainly believe Tecnoglass is more favorable than Resideo Technologies.

Earnings & Valuation

This table compares Resideo Technologies and Tecnoglass”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Resideo Technologies	$7.47 billion	0.47	-$527.00 million	$1.49	15.37
Tecnoglass	$983.61 million	2.13	$159.57 million	$2.34	20.21

Tecnoglass has lower revenue, but higher earnings than Resideo Technologies. Resideo Technologies is trading at a lower price-to-earnings ratio than Tecnoglass, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

91.7% of Resideo Technologies shares are held by institutional investors. Comparatively, 37.3% of Tecnoglass shares are held by institutional investors. 1.6% of Resideo Technologies shares are held by insiders. Comparatively, 0.1% of Tecnoglass shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Resideo Technologies and Tecnoglass’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Resideo Technologies	4.50%	15.62%	4.55%
Tecnoglass	9.57%	14.99%	8.21%

Summary

Tecnoglass beats Resideo Technologies on 7 of the 13 factors compared between the two stocks.

About Resideo Technologies

Resideo Technologies is a provider of products and services for home comfort, safety, security and energy management. Its offerings include thermostats and other heating and cooling controls, indoor air quality products, water leak detection devices, fire and carbon monoxide alarms, and security systems. Products are sold under brands that include Honeywell Home and First Alert. The company also operates ADI Global Distribution, a distributor of security, audio-visual, communications and smart-home products.

About Tecnoglass

Tecnoglass Inc. manufactures architectural glass, windows and aluminum products for residential and commercial construction. Its offerings include insulated and laminated glass, impact-resistant windows, curtain wall systems, storefronts and other building-envelope products. Founded in 1984, the company is based in Barranquilla, Colombia, where it operates manufacturing facilities. Tecnoglass serves customers in the United States, Colombia and other markets in the Americas, with the U.S. as a major market.