Contrasting NKT A/S (OTCMKTS:NRKBF) & Daktronics (NASDAQ:DAKT)

Daktronics (NASDAQ:DAKT) and NKT A/S (OTCMKTS:NRKBF) are both manufacturing companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, valuation, profitability, institutional ownership, analyst recommendations, risk and dividends.

Insider & Institutional Ownership

61.7% of Daktronics shares are held by institutional investors. Comparatively, 37.6% of NKT A/S shares are held by institutional investors. 5.3% of Daktronics shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Daktronics and NKT A/S’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Daktronics	0.96%	15.42%	8.15%
NKT A/S	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Daktronics and NKT A/S, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Daktronics	0	2	1	0	2.33
NKT A/S	0	0	2	0	3.00

Daktronics presently has a consensus target price of $26.00, indicating a potential upside of 40.39%. Given Daktronics’ higher probable upside, equities research analysts plainly believe Daktronics is more favorable than NKT A/S.

Earnings & Valuation

This table compares Daktronics and NKT A/S”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Daktronics	$756.48 million	1.19	-$10.12 million	$0.13	142.46
NKT A/S	N/A	N/A	N/A	N/A	N/A

NKT A/S has lower revenue, but higher earnings than Daktronics.

Summary

Daktronics beats NKT A/S on 7 of the 9 factors compared between the two stocks.

About Daktronics

Daktronics, Inc. designs, manufactures, and sells electronic scoreboards, programmable display systems and large screen video displays for sporting, commercial, and transportation applications in the United States and internationally. It operates through Commercial, Live Events, High School Park and Recreation, Transportation, and International segments. The company also offers video display and walls; scoreboards and timing systems; LED message displays and sings; intelligent transportation systems dynamic message signs; mass transit display; sound systems; and digital billboards and street furniture, and digit and price displays. In addition, it provides indoor dynamic messaging systems and liquid crystal display signs; and software and controllers, which includes Venus, a control suite software to control the creation of messages and graphic sequences for uploading to displays. The company sells its products through direct sales and resellers. Daktronics, Inc. was founded in 1968 and is headquartered in Brookings, South Dakota.

About NKT A/S

NKT A/S develops, manufactures, and markets cables, accessories, and solutions in Denmark and internationally. It operates through Solutions, Applications, and Service & Accessories segments. The company offers high voltage cable solutions, including high voltage onshore and offshore cables; medium voltage, dynamic, and universal cables; and low voltage building wires, flexible cables and conduits, control cables, 1 kV cables, and telecom energy cables. The company also provides high voltage cable accessories, such as GIS/transformer terminations, low pressure oil-filled cable systems, outdoor terminations, wind power applications, and joints; medium voltage cable accessories, which include medium voltage cable joints, cable connectors, voltage terminations, cable branch cabinets, paper-insulated lead sheath cables, and pre-assembled connection cables. In addition, it offers onshore cable services comprising of maintenance, spare parts management, resources on call, and cable jointing and termination services, as well as repair preparedness; and offshore cable, high voltage testing, cable monitoring, and oil and gas cable competence center services, as well as technology consulting services. The company was formerly known as NKT Holding A/S and changed its name to NKT A/S in May 2017. NKT A/S was founded in 1891 and is based in Brøndby, Denmark.