Critical Analysis: FGI Industries (FGI) vs. Its Peers

FGI Industries (NASDAQ:FGI) is one of 93 public companies in the “Building Products” industry, but how does it weigh in compared to its competitors? We will compare FGI Industries to similar companies based on the strength of its analyst recommendations, risk, profitability, institutional ownership, dividends, valuation and earnings.

Profitability

This table compares FGI Industries and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FGI Industries	-2.61%	4.31%	0.94%
FGI Industries Competitors	3.72%	-38.16%	5.06%

Analyst Ratings

This is a summary of recent ratings and recommmendations for FGI Industries and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FGI Industries	1	1	1	0	2.00
FGI Industries Competitors	745	3945	5081	242	2.48

FGI Industries currently has a consensus target price of $13.00, indicating a potential upside of 106.35%. As a group, “Building Products” companies have a potential upside of 26.12%. Given FGI Industries’ higher probable upside, analysts plainly believe FGI Industries is more favorable than its competitors.

Risk & Volatility

FGI Industries has a beta of 2.26, indicating that its share price is 126% more volatile than the S&P 500. Comparatively, FGI Industries’ competitors have a beta of 1.07, indicating that their average share price is 7% more volatile than the S&P 500.

Insider and Institutional Ownership

63.6% of shares of all “Building Products” companies are held by institutional investors. 2.4% of FGI Industries shares are held by company insiders. Comparatively, 10.2% of shares of all “Building Products” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares FGI Industries and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
FGI Industries	$130.53 million	-$6.14 million	-3.03
FGI Industries Competitors	$4.01 billion	$4.65 billion	38.86

FGI Industries’ competitors have higher revenue and earnings than FGI Industries. FGI Industries is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

FGI Industries competitors beat FGI Industries on 10 of the 13 factors compared.

About FGI Industries

FGI Industries designs, develops and distributes products for residential bathrooms. Its offerings include bathroom vanities and other furniture, shower doors and systems, bathtubs, toilets, mirrors and medicine cabinets. The company sells through home-improvement retailers, wholesalers, distributors, builders and online channels. Its portfolio includes products marketed under brands such as FGI, Foremost and Craft + Main. FGI traces its bathroom-products business to 1987 and serves customers in North America and international markets, including the United Kingdom and Europe.