Northwest Pipe (NASDAQ:NWPX) and Webco Industries (OTCMKTS:WEBC) are both small-cap industrial products companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, profitability, analyst recommendations, institutional ownership, earnings, valuation and dividends.

Analyst Ratings

This is a summary of current ratings and recommmendations for Northwest Pipe and Webco Industries, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Northwest Pipe 0 0 1 0 3.00
Webco Industries 0 0 0 0 N/A

Institutional and Insider Ownership

86.2% of Northwest Pipe shares are owned by institutional investors. Comparatively, 0.0% of Webco Industries shares are owned by institutional investors. 2.9% of Northwest Pipe shares are owned by company insiders. Comparatively, 54.4% of Webco Industries shares are owned 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.

Volatility and Risk

Northwest Pipe has a beta of 0.98, indicating that its share price is 2% less volatile than the S&P 500. Comparatively, Webco Industries has a beta of 1.23, indicating that its share price is 23% more volatile than the S&P 500.

Profitability

This table compares Northwest Pipe and Webco Industries’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Northwest Pipe 11.98% -2.45% -2.14%
Webco Industries 4.66% N/A N/A

Earnings & Valuation

This table compares Northwest Pipe and Webco Industries’ gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Northwest Pipe $132.78 million 1.76 -$10.16 million ($0.65) -36.83
Webco Industries $500.40 million 0.20 $23.32 million N/A N/A

Webco Industries has higher revenue and earnings than Northwest Pipe.

Summary

Webco Industries beats Northwest Pipe on 6 of the 10 factors compared between the two stocks.

About Northwest Pipe

Northwest Pipe Company manufactures engineered steel pipe water systems in North America. It produces large-diameter, high-pressure, and engineered welded steel pipeline systems for use in drinking water infrastructure; and pipes for piling and hydroelectric projects, wastewater treatment plants, and other applications, as well as for industrial plant piping systems and structural applications. The company sells its products primarily to public water agencies directly or through installation contractors. Northwest Pipe Company was founded in 1966 and is headquartered in Vancouver, Washington.

About Webco Industries

Webco Industries, Inc. manufactures and distributes carbon steel, stainless steel, and other metal tubular products. The company offers cold drawn welded and seamless tubing products for use in air cooler and heater, boiler tube, coiled tubing, steam surface condenser, feed water heater, heat exchanger, instrumentation tubing, mechanical tube, welded pipe, pressure tubing, and specialty stainless tubing, as well as original equipment manufacturer applications. It serves power-gen tubing, oil and gas tubular, process tubing, and automotive/industrial tubular industries. Webco Industries, Inc. was founded in 1969 and is headquartered in Sand Springs, Oklahoma.

Receive News & Ratings for Northwest Pipe Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Northwest Pipe and related companies with MarketBeat.com's FREE daily email newsletter.