Analyzing RF Industries (RFIL) and Its Competitors

RF Industries (NASDAQ:RFIL) is one of 376 public companies in the “Electronic Equipment, Instruments & Components” industry, but how does it contrast to its peers? We will compare RF Industries to similar companies based on the strength of its institutional ownership, valuation, profitability, risk, dividends, analyst recommendations and earnings.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
RF Industries	1.70%	12.79%	6.32%
RF Industries Competitors	-201.00%	-148.43%	-6.92%

Volatility & Risk

RF Industries has a beta of 1.29, suggesting that its stock price is 29% more volatile than the S&P 500. Comparatively, RF Industries’ peers have a beta of -0.22, suggesting that their average stock price is 122% less volatile than the S&P 500.

Valuation & Earnings

This table compares RF Industries and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
RF Industries	$82.14 million	$80,000.00	97.21
RF Industries Competitors	$4.00 billion	$184.90 million	-9.26

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

Institutional & Insider Ownership

23.5% of RF Industries shares are held by institutional investors. Comparatively, 43.5% of shares of all “Electronic Equipment, Instruments & Components” companies are held by institutional investors. 20.4% of RF Industries shares are held by insiders. Comparatively, 16.4% of shares of all “Electronic Equipment, Instruments & Components” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Dividends

RF Industries pays an annual dividend of $0.08 per share and has a dividend yield of 0.6%. RF Industries pays out 57.1% of its earnings in the form of a dividend. As a group, “Electronic Equipment, Instruments & Components” companies pay a dividend yield of 1.7% and pay out 67.0% of their earnings in the form of a dividend.

Analyst Ratings

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RF Industries	0	2	1	1	2.75
RF Industries Competitors	1950	7409	10126	615	2.47

RF Industries currently has a consensus price target of $18.50, indicating a potential upside of 35.93%. As a group, “Electronic Equipment, Instruments & Components” companies have a potential upside of 13.57%. Given RF Industries’ stronger consensus rating and higher probable upside, analysts clearly believe RF Industries is more favorable than its peers.

Summary

RF Industries beats its peers on 10 of the 15 factors compared.

About RF Industries

RF Industries, Ltd., together with its subsidiaries, designs, manufactures, and markets interconnect products and systems in the United States, Canada, Italy, Mexico, and internationally. The company operates through two segments, RF Connector and Cable Assembly, and Custom Cabling Manufacturing and Assembly. The company designs, manufactures, and distributes various coaxial connectors and cable assemblies that are integrated with coaxial connectors; custom copper and fiber cable assemblies, complex hybrid fiber optic and power solution cables, adapters, and electromechanical wiring harnesses for communication, computer, LAN, automotive, and medical equipment; energy-efficient cooling systems for wireless base stations and remote equipment shelters; and custom-designed pole-ready 5G small cell integrated enclosures. It also designs and manufactures cable assemblies and wiring harnesses for blue chip industrial, oilfield, instrumentation, medical, and military customers; connectivity solutions to telecommunications and data communications distributors; thermal control systems; and radio frequency and microwave distribution system products, such as dividers, directional couplers, and filters. The company sells its products through warehousing distributors and in-house marketing and sales team. It serves telecommunications carriers and equipment manufacturers, wireless and network infrastructure carriers, and original equipment manufacturers. The company was formerly known as Celltronics, Inc. and changed its name RF Industries, Ltd. in November 1990. RF Industries, Ltd. was incorporated in 1979 and is headquartered in San Diego, California.