Head-To-Head Analysis: National Presto Industries (NYSE:NPK) vs. StandardAero (NYSE:SARO)

National Presto Industries (NYSE:NPK) and StandardAero (NYSE:SARO) are both industrials companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, risk, profitability, earnings, institutional ownership, valuation and dividends.

Volatility & Risk

National Presto Industries has a beta of 0.49, meaning that its stock price is 51% less volatile than the S&P 500. Comparatively, StandardAero has a beta of 0.82, meaning that its stock price is 18% less volatile than the S&P 500.

Earnings and Valuation

This table compares National Presto Industries and StandardAero”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
National Presto Industries	$503.52 million	2.02	$33.08 million	$5.98	23.88
StandardAero	$6.06 billion	1.50	$277.42 million	$0.97	28.36

StandardAero has higher revenue and earnings than National Presto Industries. National Presto Industries is trading at a lower price-to-earnings ratio than StandardAero, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for National Presto Industries and StandardAero, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
National Presto Industries	0	1	1	0	2.50
StandardAero	0	6	7	2	2.73

National Presto Industries currently has a consensus price target of $162.00, suggesting a potential upside of 13.45%. StandardAero has a consensus price target of $33.27, suggesting a potential upside of 20.96%. Given StandardAero’s stronger consensus rating and higher probable upside, analysts plainly believe StandardAero is more favorable than National Presto Industries.

Insider and Institutional Ownership

58.6% of National Presto Industries shares are held by institutional investors. 26.0% of National Presto Industries shares are held by company insiders. Comparatively, 2.1% of StandardAero shares are held 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.

Profitability

This table compares National Presto Industries and StandardAero’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
National Presto Industries	7.86%	10.83%	8.68%
StandardAero	5.46%	16.42%	6.62%

Summary

StandardAero beats National Presto Industries on 9 of the 15 factors compared between the two stocks.

About National Presto Industries

National Presto Industries, Inc. provides housewares and small appliance, defense, and safety products in North America. The company’s Housewares/Small Appliance segment designs, markets, and distributes housewares and small electrical appliances, including pressure cookers and canners; heat control line of skillets, griddles, woks, and multi-purpose cookers; slow cookers; deep fryers; air fryers; waffle makers; pizza ovens; slicer/shredders; electric heaters; hot air, oil, and microwave corn poppers; dehydrators; vacuum sealers; rice cookers; microwave bacon cookers; egg cookers; coffeemakers and coffeemaker accessories; electric knife sharpeners; and timers under the Presto Control Master brand. This segment sells its products directly to retailers, as well as through independent distributors. Its Defense segment manufactures and sells 40mm ammunition, precision mechanical and electro-mechanical products, medium caliber cartridge cases; and metal parts; and detonators, booster pellets, release cartridges, lead azide, and other military energetic devices and materials. This segment primarily serves the United States Department of Defense (DOD) and DOD prime contractors. The company’s Safety segment patents machine learning, digital sensors, and cloud-based technology to monitor freezers and refrigerators that detects and alerts users to potential safety issues around pharmaceuticals and food. National Presto Industries, Inc. was founded in 1905 and is based in Eau Claire, Wisconsin.

About StandardAero

StandardAero, Inc. provides aerospace engine aftermarket services for fixed and rotary wing aircraft in the United States, Canada, the United Kingdom, Rest of Europe, Asia, and internationally. It operates in two segments, Engine Services and Component Repair Services. The Engine Services segment provides a suite of aftermarket services, including maintenance, repair and overhaul, on-wing and field service support, asset management, and engineering and related solutions to customers in the commercial aerospace, military and helicopter, and business aviation end markets. The Component Repair Services segment offers engine component and accessory repairs to the commercial aerospace, military and helicopter, land and marine, and oil and gas end markets. The company was founded in 1911 and is headquartered in Scottsdale, Arizona.