Contrasting Gencor Industries (GENC) & Its Rivals

Gencor Industries (NASDAQ:GENC) is one of 436 publicly-traded companies in the “Machinery” industry, but how does it contrast to its peers? We will compare Gencor Industries to similar companies based on the strength of its risk, institutional ownership, dividends, valuation, analyst recommendations, profitability and earnings.

Institutional and Insider Ownership

52.4% of shares of all “Machinery” companies are held by institutional investors. 30.4% of Gencor Industries shares are held by company insiders. Comparatively, 14.0% of shares of all “Machinery” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Gencor Industries and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gencor Industries	0	0	1	1	3.50
Gencor Industries Competitors	4060	14432	17849	774	2.41

Gencor Industries presently has a consensus price target of $17.60, suggesting a potential downside of 8.00%. As a group, “Machinery” companies have a potential upside of 28.08%. Given Gencor Industries’ peers higher probable upside, analysts clearly believe Gencor Industries has less favorable growth aspects than its peers.

Valuation and Earnings

This table compares Gencor Industries and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Gencor Industries	$110.01 million	$14.67 million	16.49
Gencor Industries Competitors	$4.48 billion	$345.86 million	-12.66

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

Profitability

This table compares Gencor Industries and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gencor Industries	14.33%	8.60%	8.01%
Gencor Industries Competitors	-1,939.48%	-21.69%	0.63%

Volatility & Risk

Gencor Industries has a beta of 0.49, indicating that its share price is 51% less volatile than the S&P 500. Comparatively, Gencor Industries’ peers have a beta of 4.51, indicating that their average share price is 351% more volatile than the S&P 500.

Summary

Gencor Industries beats its peers on 8 of the 13 factors compared.

Gencor Industries Company Profile

Gencor Industries, Inc., together with its subsidiaries, designs, manufactures, and sells heavy machinery used in the production of highway construction materials and environmental control equipment. It offers hot-mix asphalt plants to produce asphalt paving materials; related asphalt plant equipment, including hot-mix storage silos, fabric filtration systems, cold feed bins, and other plant components; and a range of mobile batch plants. The company also provides combustion systems that transform solid, liquid, or gaseous fuels into usable energy, or burn multiple fuels in asphalt and aggregate drying industries; and combustion systems for rotary dryers, kilns, fume and liquid incinerators, and fuel heaters, as well as industrial incinerators. In addition, it offers thermal fluid heat transfer systems that transfer heat for storage, heating, and pumping viscous materials, such as asphalt, chemicals, heavy oils, etc. in various industrial and petrochemical applications; specialty storage tanks for various industrial uses; and asphalt pavers under the Blaw-Knox brand. The company sells its products primarily to the highway construction industry through its sales representatives, and independent dealers and agents worldwide. The company was formerly known as Mechtron International Corporation and changed its name to Gencor Industries, Inc. in 1987. Gencor Industries, Inc. was founded in 1894 and is based in Orlando, Florida.