ABCO Energy (OTCMKTS:ABCE) vs. Novanta (NASDAQ:NOVT) Critical Contrast

Novanta (NASDAQ:NOVT) and ABCO Energy (OTCMKTS:ABCE) are both computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their risk, dividends, earnings, profitability, analyst recommendations, institutional ownership and valuation.

Earnings and Valuation

This table compares Novanta and ABCO Energy”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Novanta	$960.31 million	4.96	$64.09 million	$1.47	90.60
ABCO Energy	N/A	N/A	N/A	N/A	N/A

Novanta has higher revenue and earnings than ABCO Energy.

Insider and Institutional Ownership

98.3% of Novanta shares are held by institutional investors. 1.2% of Novanta shares are held by insiders. Comparatively, 0.1% of ABCO Energy shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Novanta and ABCO Energy, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Novanta	2	1	0	0	1.33
ABCO Energy	0	0	0	0	0.00

Novanta presently has a consensus target price of $133.00, indicating a potential downside of 0.14%. Given ABCO Energy’s higher probable upside, analysts plainly believe ABCO Energy is more favorable than Novanta.

Profitability

This table compares Novanta and ABCO Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Novanta	5.50%	14.53%	7.82%
ABCO Energy	N/A	N/A	N/A

Summary

Novanta beats ABCO Energy on 7 of the 8 factors compared between the two stocks.

About Novanta

Novanta, Inc. engages in the provision of core technology solutions to healthcare and advanced industrial original equipment manufacturers. It operates through the following segments: Photonics, Vision, and Precision Motion. The Photonics segment designs, manufactures, and markets photonics-based solutions, including laser scanning and laser beam delivery, CO2 laser, continuous wave and ultrafast laser, and optical light engine products. The Vision segment offers a range of medical grade technologies, including medical insufflators, pumps and related disposables, surgical displays and operating room integration technologies, optical data collection and machine vision technologies, radio frequency identification technologies, thermal printers, spectrometry technologies, and embedded touch screen solutions. The Precision Motion segment includes optical encoders, precision motor and motion control technology, air bearing spindles, and precision machined components to customers. The company was founded in 1968 and is headquartered in Bedford, MA.

About ABCO Energy

ABCO Energy, Inc., together with its subsidiaries, operates as an electrical product and services supplier in the United States. The company sells and installs solar photovoltaic electric systems that allow customers to produce power on their residence or business property. It also sells and installs energy efficient lighting products, solar powered streetlights, and lighting accessories to residential and commercial customers. In addition, the company offers solar leasing and long term financing programs to its customers, and other marketing and installation organizations. Further, the company provides operations and maintenance services to residential and commercial customers. The company was formerly known as ENYC and changed its name to ABCO Energy, Inc. in October 2011. ABCO Energy, Inc. was founded in 2004 and is based in Tucson, Arizona.