Financial Survey: Green Brick Partners (NASDAQ:GRBK) vs. Universal Electronics (NASDAQ:UEIC)

Green Brick Partners (NASDAQ:GRBK) and Universal Electronics (NASDAQ:UEIC) are both consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, dividends, valuation, earnings and profitability.

Profitability

This table compares Green Brick Partners and Universal Electronics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Green Brick Partners	17.70%	25.35%	17.29%
Universal Electronics	-4.57%	2.70%	1.44%

Analyst Ratings

This is a summary of recent ratings and recommmendations for Green Brick Partners and Universal Electronics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Green Brick Partners	0	2	0	0	2.00
Universal Electronics	1	2	0	0	1.67

Universal Electronics has a consensus price target of $4.25, indicating a potential downside of 16.99%. Given Universal Electronics’ higher probable upside, analysts clearly believe Universal Electronics is more favorable than Green Brick Partners.

Earnings & Valuation

This table compares Green Brick Partners and Universal Electronics”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Green Brick Partners	$2.03 billion	1.46	$284.63 million	$6.64	10.36
Universal Electronics	$368.29 million	0.18	-$18.60 million	($1.16)	-4.41

Green Brick Partners has higher revenue and earnings than Universal Electronics. Universal Electronics is trading at a lower price-to-earnings ratio than Green Brick Partners, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

78.2% of Green Brick Partners shares are held by institutional investors. Comparatively, 79.3% of Universal Electronics shares are held by institutional investors. 30.3% of Green Brick Partners shares are held by company insiders. Comparatively, 17.1% of Universal Electronics shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk & Volatility

Green Brick Partners has a beta of 1.8, meaning that its stock price is 80% more volatile than the S&P 500. Comparatively, Universal Electronics has a beta of 1.18, meaning that its stock price is 18% more volatile than the S&P 500.

Summary

Green Brick Partners beats Universal Electronics on 11 of the 13 factors compared between the two stocks.

About Green Brick Partners

Green Brick Partners, Inc. is a diversified homebuilding and land development company in the United States. The company operates through three segments: Builder operations Central, Builder operations Southeast, and Land Development. The Builder operations Central segment operates builders in Texas; and the closing and delivery of homes. The Builder operations Southeast operates builders in Georgia and Florida. The Land Development segment acquires land for the development of residential lots that are transferred to our controlled builders or sold to third party homebuilders. It also provides financial services platform, including mortgage and title services. In addition, the company is engaged in all aspects of the homebuilding process, including land acquisition and development, entitlements, design, construction, marketing, and sales for its residential neighborhoods and master-planned communities. Green Brick Partners, Inc. was incorporated in 2006 and is based in Plano, Texas.

About Universal Electronics

Universal Electronics Inc. designs, develops, manufactures, ships, and supports control and sensor technology solutions in the United States, the People’s Republic of China, rest of Asia, Europe, Latin America, and internationally. The company offers voice-enabled automatically-programmed universal two-way radio frequency, as well as infrared remote controls to video service providers, original equipment manufacturers (OEMs), retailers, and private label customers; wall-mount and handheld thermostat controllers and connected accessories for smart energy management systems to OEM customers, hotels, hospitality, and system integrators; proprietary and standards-based RF sensors for residential security, safety, and home automation applications; and integrated circuits on which its software and universal device control database is embedded to OEMs, video service providers, and private label customers. It also provides software, firmware and technology solutions that can enable devices such as Smart TVs, hybrid set-top boxes, audio systems, smart speakers, game consoles, and other consumer electronic and smart home devices to wirelessly connect and interoperate within home networks; cloud-services that support its embedded software and hardware solutions; intellectual property that the company licenses to OEMs and video service providers; embedded and cloud-enabled software for firmware update provisioning and digital rights management validation services to consumer electronics brands; and AV accessories, including universal remote controls, television wall mounts and stands, and digital television antennas. In addition, the company QuickSet, a software application that can be embedded in entertainment or smart home platform or can be delivered as a cloud-based service, through QuickSet Cloud, to enable universal device setup, interoperability, and control. Universal Electronics Inc. was incorporated in 1986 and is based in Scottsdale, Arizona.