Head to Head Comparison: ABB (ABBNY) versus Its Competitors

ABB (OTCMKTS:ABBNY) is one of 216 public companies in the “Electrical Equipment” industry, but how does it contrast to its rivals? We will compare ABB to related companies based on the strength of its institutional ownership, profitability, earnings, valuation, analyst recommendations, dividends and risk.

Analyst Ratings

This is a summary of recent ratings and target prices for ABB and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ABB	0	10	1	2	2.38
ABB Competitors	2279	5148	7187	434	2.38

As a group, “Electrical Equipment” companies have a potential upside of 42.01%. Given ABB’s rivals higher probable upside, analysts plainly believe ABB has less favorable growth aspects than its rivals.

Dividends

ABB pays an annual dividend of $0.72 per share and has a dividend yield of 0.8%. ABB pays out 26.1% of its earnings in the form of a dividend. As a group, “Electrical Equipment” companies pay a dividend yield of 1.5% and pay out 27.6% of their earnings in the form of a dividend.

Insider and Institutional Ownership

1.1% of ABB shares are owned by institutional investors. Comparatively, 37.3% of shares of all “Electrical Equipment” companies are owned by institutional investors. 4.9% of ABB shares are owned by insiders. Comparatively, 14.7% of shares of all “Electrical Equipment” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Risk & Volatility

ABB has a beta of 1.42, suggesting that its stock price is 42% more volatile than the S&P 500. Comparatively, ABB’s rivals have a beta of -20.43, suggesting that their average stock price is 2,143% less volatile than the S&P 500.

Profitability

This table compares ABB and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ABB	13.55%	31.11%	11.14%
ABB Competitors	-354.39%	-45.12%	-7.92%

Valuation and Earnings

This table compares ABB and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
ABB	$33.22 billion	$4.73 billion	30.96
ABB Competitors	$2.40 billion	$146.97 million	21.36

ABB has higher revenue and earnings than its rivals. ABB is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Summary

ABB beats its rivals on 10 of the 15 factors compared.

About ABB

ABB Ltd provides electrification, motion, and automation solutions and products for customers in utilities, industry and transport, and infrastructure in Switzerland, rest of Europe, the Americas, the United States, rest of Asia, the Middle East, Africa, China, and internationally. Its Electrification segment offers renewable power solutions, modular substation packages, distribution automation products, switchboards and panelboards, switchgears, UPS solutions, circuit breakers, measuring and sensing devices, control products, wiring accessories, enclosures and cabling systems, and intelligent home and building solutions. The company's Motion segment designs, manufactures, and sells drives, motors, generators, and traction converters that are driving the low-carbon future for industries, cities, infrastructure, and transportation. The company's Process Automation segment provides control technologies, industrial software, advanced analytics, sensing and measurement technology, and marine propulsion systems; and repair, remote monitoring, preventive maintenance, asset performance management, emission monitoring, and cybersecurity services. The company's Robotics & Discrete Automation segment offers industrial and collaborative robots, autonomous mobile robotics, mapping and navigation solutions, robotic solutions, field services, spare parts, and digital services. This segment also provides solutions based on its programmable logic controllers, industrial PCs, servo motion, transport systems, and machine vision. It serves oil, gas, chemicals, mining, metals, cement, pulp and paper, pharmaceuticals, battery manufacturing, food and beverage, power generation, water, marine, and ports industries. The company was founded in 1883 and is headquartered in Zurich, Switzerland.