Kone Oyj (OTCMKTS:KNYJY) vs. Omega Flex (NASDAQ:OFLX) Financial Comparison

Kone Oyj (OTCMKTS:KNYJY) and Omega Flex (NASDAQ:OFLX) are both industrials companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, analyst recommendations, dividends, institutional ownership, valuation, earnings and profitability.

Insider & Institutional Ownership

36.1% of Omega Flex shares are held by institutional investors. 65.2% of Omega Flex shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Kone Oyj and Omega Flex’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kone Oyj	8.33%	38.87%	10.68%
Omega Flex	12.27%	14.26%	11.54%

Valuation and Earnings

This table compares Kone Oyj and Omega Flex”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kone Oyj	$12.72 billion	2.13	$1.11 billion	$1.06	28.14
Omega Flex	$96.59 million	2.81	$14.83 million	$1.19	22.61

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

Dividends

Kone Oyj pays an annual dividend of $0.45 per share and has a dividend yield of 1.5%. Omega Flex pays an annual dividend of $1.36 per share and has a dividend yield of 5.1%. Kone Oyj pays out 42.5% of its earnings in the form of a dividend. Omega Flex pays out 114.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Omega Flex has raised its dividend for 7 consecutive years. Omega Flex is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Risk and Volatility

Kone Oyj has a beta of 0.65, suggesting that its share price is 35% less volatile than the S&P 500. Comparatively, Omega Flex has a beta of 0.45, suggesting that its share price is 55% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and price targets for Kone Oyj and Omega Flex, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kone Oyj	3	3	1	1	2.00
Omega Flex	1	0	0	0	1.00

Summary

Kone Oyj beats Omega Flex on 9 of the 17 factors compared between the two stocks.

About Kone Oyj

KONE Oyj, together with its subsidiaries, engages in the elevator and escalator business worldwide. The company provides elevators, escalators, and automatic building doors. It offers maintenance services; and modernization solutions. In addition, the company offers KONE Office Flow, a connected solution that allows for personalized user experiences and touch-free access; health and well-being solutions for elevators, escalators, and doors; KONE Access, an access control system, which is integrated with elevator system and building doors; KONE Destination, a destination control system that reduce waiting and travel times; KONE infotainment, a communication channel for building tenants and visitors; and monitoring solutions that enable real-time inspection of elevators and escalators. Further, it provides people flow planning and consulting services; solutions for special buildings and large projects; cybersecurity solutions; and energy solutions for greener buildings. KONE Oyj was founded in 1908 and is based in Espoo, Finland.

About Omega Flex

Omega Flex, Inc., together with its subsidiaries, manufactures and sells flexible metal hoses and accessories in North America and internationally. It offers flexible gas piping for use in residential and commercial buildings; fittings; containment pining; and corrugated medical tubing for use in hospitals, ambulatory care centers, dental, physician and veterinary clinics, laboratories, and other facilities. The company sells its products under the TracPipe, CounterStrike, AutoSnap, AutoFlare, DoubleTrac, DEF-Trac, and MediTrac brand names. It serves various markets, including construction, manufacturing, transportation, petrochemical, pharmaceutical, and other industries. The company sells its products through independent sales representatives, distributors, fabricating distributors, wholesalers, original equipment manufacturers, and direct sales, as well as through its website. The company was formerly known as Tofle America, Inc. and changed its name to Omega Flex, Inc. in 1996. Omega Flex, Inc. was incorporated in 1975 and is based in Exton, Pennsylvania.