Broadwind Energy (NASDAQ:BWEN) vs. Daimler Truck (OTCMKTS:DTRUY) Critical Review

Daimler Truck (OTCMKTS:DTRUY) and Broadwind Energy (NASDAQ:BWEN) are both industrials companies, but which is the better business? We will compare the two companies based on the strength of their risk, institutional ownership, profitability, earnings, valuation, dividends and analyst recommendations.

Analyst Recommendations

This is a summary of current recommendations for Daimler Truck and Broadwind Energy, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Daimler Truck	0	3	5	1	2.78
Broadwind Energy	0	1	2	0	2.67

Broadwind Energy has a consensus price target of $6.25, indicating a potential upside of 53.94%. Given Broadwind Energy’s higher possible upside, analysts plainly believe Broadwind Energy is more favorable than Daimler Truck.

Profitability

This table compares Daimler Truck and Broadwind Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Daimler Truck	5.87%	4.79%	1.46%
Broadwind Energy	3.90%	-1.54%	-0.87%

Volatility & Risk

Daimler Truck has a beta of 0.06, indicating that its share price is 94% less volatile than the S&P 500. Comparatively, Broadwind Energy has a beta of 1.76, indicating that its share price is 76% more volatile than the S&P 500.

Valuation & Earnings

This table compares Daimler Truck and Broadwind Energy”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Daimler Truck	$51.50 billion	0.68	$2.23 billion	$0.50	45.46
Broadwind Energy	$158.05 million	0.61	$5.24 million	$0.23	17.65

Daimler Truck has higher revenue and earnings than Broadwind Energy. Broadwind Energy is trading at a lower price-to-earnings ratio than Daimler Truck, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

33.3% of Broadwind Energy shares are owned by institutional investors. 6.1% of Broadwind Energy shares are owned 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.

Summary

Daimler Truck beats Broadwind Energy on 11 of the 15 factors compared between the two stocks.

About Daimler Truck

Daimler Truck Holding AG manufactures and sells commercial trucks. The company was founded in 2021 and is based in Stuttgart, Germany.

About Broadwind Energy

Broadwind, Inc. manufactures and sells structures, equipment, and components for clean tech and other specialized applications primarily in the United States. It operates through three segments: Heavy Fabrications, Gearing, and Industrial Solutions. The Heavy Fabrications segment provides fabrications to various industrial markets. It offers steel towers and adapters primarily to wind turbine manufacturers. Its Gearing segment provides gearing, gearboxes, and precision machined components to a range of customers in diverse markets, including surface and underground mining, wind energy, steel, material handling, infrastructure, onshore and offshore oil and gas fracking and drilling, marine, and other industrial markets. This segment also offers heat treat services for aftermarket and original equipment manufacturer applications. The Industrial Solutions segment provides supply chain solutions for offering instrumentation and controls, valve assemblies, sensor devices, fuel system components, electrical junction boxes and wiring, energy storage services, and electromechanical devices; light fabrication, inventory management, and kitting and assembly services; packaging solutions; and supply chain solutions, light fabrication, inventory management, and kitting and assembly services for combined cycle natural gas turbine market. It sells its products to the energy, mining, and infrastructure sectors through its direct sales force and independent sales agents. The company was formerly known as Broadwind Energy, Inc. and changed its name to Broadwind, Inc. in May 2020. Broadwind, Inc. is headquartered in Cicero, Illinois.