BlueLinx (NYSE:BXC) & Park-Ohio (NASDAQ:PKOH) Head to Head Contrast

Park-Ohio (NASDAQ:PKOH) and BlueLinx (NYSE:BXC) are both small-cap industrials companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, institutional ownership, risk, earnings, dividends and valuation.

Profitability

This table compares Park-Ohio and BlueLinx’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Park-Ohio	1.60%	10.55%	2.81%
BlueLinx	-0.06%	0.13%	0.05%

Insider and Institutional Ownership

51.4% of Park-Ohio shares are owned by institutional investors. Comparatively, 90.8% of BlueLinx shares are owned by institutional investors. 31.1% of Park-Ohio shares are owned by company insiders. Comparatively, 3.6% of BlueLinx shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Park-Ohio and BlueLinx”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Park-Ohio	$1.60 billion	0.42	$23.80 million	$1.88	24.50
BlueLinx	$2.95 billion	0.20	$220,000.00	($0.25)	-296.33

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

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Park-Ohio and BlueLinx, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Park-Ohio	0	2	1	0	2.33
BlueLinx	1	1	1	0	2.00

Park-Ohio currently has a consensus price target of $59.00, suggesting a potential upside of 28.09%. BlueLinx has a consensus price target of $83.50, suggesting a potential upside of 12.71%. Given Park-Ohio’s stronger consensus rating and higher possible upside, analysts plainly believe Park-Ohio is more favorable than BlueLinx.

Risk and Volatility

Park-Ohio has a beta of 1.22, suggesting that its share price is 22% more volatile than the S&P 500. Comparatively, BlueLinx has a beta of 1.45, suggesting that its share price is 45% more volatile than the S&P 500.

Summary

Park-Ohio beats BlueLinx on 10 of the 13 factors compared between the two stocks.

About Park-Ohio

Park-Ohio Holdings Corp. provides supply chain management outsourcing services, capital equipment, and manufactured components in the United States, Europe, Asia, Mexico, Canada, and internationally. It operates through three segments: Supply Technologies, Assembly Components, and Engineered Products. The Supply Technologies segment offers Total Supply Management that comprises engineering and design support, part usage and cost analysis, supplier selection, quality assurance, bar coding, product packaging and tracking, just-in-time and point-of-use delivery, electronic billing, and ongoing technical support services, as well as provides spare parts and aftermarket products; and production components, such as valves, fuel hose assemblies, electro-mechanical hardware, labels, fittings, steering components, and other products. This segment also engineers and manufactures precision cold-formed and cold-extruded fasteners, and other products comprising locknuts, SPAC nuts, SPAC bolts, and wheel hardware. The Assembly Components segment offers direct fuel injection fuel rails and pipes, fuel filler pipes, and flexible multi-layer plastic and rubber assemblies; turbo charging and coolant hoses; and value-added services comprising design engineering, machining, and parts assembly. The Engineered Products segment provides engineered products, including induction heating and melting systems, pipe threading systems, and forged and machined products for ferrous and non-ferrous metals, silicon, coatings, forging, foundry, automotive, and construction equipment industries; engineers and installs mechanical forging presses; sells spare parts; field services; and forges aerospace and defense structural components, such as landing gears and struts, as well as rail products comprising railcar center plates and draft lugs. Park-Ohio Holdings Corp. was founded in 1907 and is headquartered in Cleveland, Ohio.

About BlueLinx

BlueLinx Holdings Inc., together with its subsidiaries, engages in the distribution of residential and commercial building products in the United States. It distributes specialty products, including engineered wood, siding, millwork, outdoor living, specialty lumber and panels, and industrial products; and structural products, such as lumber, plywood, oriented strand boards, rebars and remesh, as well as other wood products that are used for structural support in construction projects. It also provides various value-added services and solutions to customers and suppliers. The company serves national home centers, pro dealers, cooperatives, specialty distributors, regional and local dealers, and industrial manufacturers. BlueLinx Holdings Inc. was incorporated in 2004 and is headquartered in Marietta, Georgia.