Head to Head Contrast: Celestica (NYSE:CLS) versus Rogers (NYSE:ROG)

Rogers (NYSE:ROG) and Celestica (NYSE:CLS) are both technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, profitability, risk, earnings, analyst recommendations, institutional ownership and valuation.

Profitability

This table compares Rogers and Celestica’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rogers	3.75%	5.17%	4.31%
Celestica	7.16%	39.96%	11.06%

Risk & Volatility

Rogers has a beta of 0.43, meaning that its share price is 57% less volatile than the S&P 500. Comparatively, Celestica has a beta of 2.01, meaning that its share price is 101% more volatile than the S&P 500.

Insider & Institutional Ownership

96.0% of Rogers shares are owned by institutional investors. Comparatively, 67.4% of Celestica shares are owned by institutional investors. 1.1% of Rogers shares are owned by company insiders. Comparatively, 1.1% of Celestica shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Rogers and Celestica, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rogers	0	2	1	1	2.75
Celestica	0	1	23	0	2.96

Rogers presently has a consensus target price of $225.00, indicating a potential upside of 53.79%. Celestica has a consensus target price of $450.50, indicating a potential upside of 25.92%. Given Rogers’ higher possible upside, analysts plainly believe Rogers is more favorable than Celestica.

Earnings & Valuation

This table compares Rogers and Celestica”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rogers	$810.80 million	3.22	-$61.80 million	$1.75	83.60
Celestica	$12.39 billion	3.32	$832.50 million	$9.62	37.19

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

Summary

Celestica beats Rogers on 11 of the 15 factors compared between the two stocks.

About Rogers

Rogers Corporation engages in the design, development, manufacture, and sale of engineered materials and components worldwide. It operates through Advanced Electronics Solutions (AES), Elastomeric Material Solutions (EMS), and Other segments. The AES segment offers circuit materials, ceramic substrate materials, busbars, and cooling solutions for applications in electric and hybrid electric vehicles (EV/HEV), wireless infrastructure, automotive, renewable energy, aerospace and defense, mass transit, industrial, connected devices, and wired infrastructure. This segment sells its products under the curamik, ROLINX, RO4000, RO3000, RT/duroid, CLTE Series, TMM, AD Series, DiClad, CuClad Series, Kappa, COOLSPAN, TC Series, IsoClad, MAGTREX, IM, 2929 Bondply, SpeedWave Prepreg, RO4400/RO4400T, and Radix names. The EMS segment provides engineered material solutions, including polyurethane and silicone materials used in cushioning, gasketing, sealing, and vibration management applications; customized silicones used in flex heater and semiconductor thermal applications; and polytetrafluoroethylene and ultra-high molecular weight polyethylene materials used in wire and cable protection, electrical insulation, conduction and shielding, hose and belt protection, vibration management, cushioning, gasketing and sealing, and venting applications. This segment sells its products under the PORON, BISCO, DeWAL, ARLON, eSorba, XRD, Silicone Engineering, and R/bak names. The Other segment provides elastomer components; and elastomer floats for level sensing in fuel tanks, motors, and storage tanks for applications in the general industrial and automotive markets under the ENDUR and NITROPHYL names. The company was founded in 1832 and is headquartered in Chandler, Arizona.

About Celestica

Celestica Inc. provides supply chain solutions in North America, Europe, and Asia. It operates through two segments: Advanced Technology Solutions, and Connectivity & Cloud Solutions. The company offers a range of product manufacturing and related supply chain services, including design and development, new product introduction, engineering services, component sourcing, electronics manufacturing and assembly, testing, complex mechanical assembly, systems integration, precision machining, order fulfillment, logistics, asset management, product licensing, and after-market repair and return services. It also provides hardware platform solutions, which includes development of infrastructure platforms, and hardware and software design solutions and services which is used as-is or customized for specific applications; and management of program including design and supply chain, manufacturing, and after-market support, including IT asset disposition and asset management services. The company offers its products and services to original equipment manufacturers, cloud-based, and other service providers, including hyperscalers, and other companies in aerospace and defense, industrial, HealthTech, capital equipment, and communication and enterprise markets. Celestica Inc. was incorporated in 1994 and is headquartered in Toronto, Canada.