United Technologies (NYSE: UTX) and TAT Technologies (NASDAQ:TATT) are both multi-sector conglomerates companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, analyst recommendations, dividends, risk, profitability and institutional ownership.
Valuation & Earnings
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This table compares United Technologies and TAT Technologies’ revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|United Technologies||$59.84 billion||1.70||$4.55 billion||$6.65||19.10|
|TAT Technologies||$106.53 million||0.71||$2.39 million||N/A||N/A|
United Technologies has higher revenue and earnings than TAT Technologies.
Institutional and Insider Ownership
82.2% of United Technologies shares are owned by institutional investors. Comparatively, 2.4% of TAT Technologies shares are owned by institutional investors. 0.2% of United Technologies shares are owned by insiders. Comparatively, 8.8% of TAT Technologies shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
This is a summary of recent recommendations for United Technologies and TAT Technologies, as reported by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
United Technologies currently has a consensus price target of $138.25, suggesting a potential upside of 8.83%. Given United Technologies’ higher probable upside, equities research analysts plainly believe United Technologies is more favorable than TAT Technologies.
Volatility and Risk
United Technologies has a beta of 1.09, indicating that its share price is 9% more volatile than the S&P 500. Comparatively, TAT Technologies has a beta of 0.17, indicating that its share price is 83% less volatile than the S&P 500.
United Technologies pays an annual dividend of $2.80 per share and has a dividend yield of 2.2%. TAT Technologies does not pay a dividend. United Technologies pays out 42.1% of its earnings in the form of a dividend. United Technologies has raised its dividend for 6 consecutive years.
This table compares United Technologies and TAT Technologies’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
United Technologies beats TAT Technologies on 12 of the 15 factors compared between the two stocks.
United Technologies Company Profile
United Technologies Corporation provides technology products and services to building systems and aerospace industries worldwide. Its Otis segment designs, manufactures, sells, and installs passenger and freight elevators, escalators, and moving walkways; and offers modernization products to upgrade elevators and escalators, as well as maintenance and repair services. The company's UTC Climate, Controls & Security segment provides heating, ventilating, air conditioning, refrigeration, fire, security, and building automation products, solutions, and services for residential, commercial, industrial, and transportation applications. This segment also offers building services, including audit, design, installation, system integration, repair, maintenance, monitoring, and inspection services. Its Pratt & Whitney segment supplies aircraft engines for commercial, military, business jet, and general aviation markets; and provides aftermarket maintenance, repair, and overhaul, as well as fleet management services. The company's UTC Aerospace Systems segment provides electric power generation, power management, and distribution systems; air data and aircraft sensing systems; engine control, intelligence, surveillance, and reconnaissance systems; engine components; environmental control systems; fire and ice detection, and protection systems; propeller systems; engine nacelle systems; aircraft lighting and seating, and cargo systems; actuation and landing systems; space products and subsystems; and aftermarket services. United Technologies Corporation offers its services through manufacturers' representatives, distributors, wholesalers, dealers, retail outlets, and sales representatives, as well as directly to customers. United Technologies Corporation was founded in 1934 and is headquartered in Farmington, Connecticut.
TAT Technologies Company Profile
TAT Technologies Ltd., together with its subsidiaries, provides various solutions and services to the commercial and military aerospace, and ground defense industries worldwide. It designs, develops, and manufactures a range of heat transfer solutions, such as pre-cooler and oil/fuel hydraulic heat exchangers used in mechanical and electronic systems in commercial, military, and business aircraft; environmental control and power electronics cooling systems for use in aircraft and ground applications; and a range of other mechanical aircraft accessories and systems, such as pumps, valves, and turbine power units. The company also provides maintenance, repair, and overhaul (MRO) services for heat transfer components; and aviation components, such as APUs, landing gears, and other aircraft components, as well as manufactures heat transfer solutions on original equipment manufacturing basis. In addition, it engages in the overhaul and coating of jet engine components, including turbine vanes and blades, fan blades, variable inlet guide vanes, afterburner flaps, and other components. The company was formerly known as Galagraph Ltd. and changed its name to TAT Technologies Ltd. in May 1992. TAT Technologies Ltd. was founded in 1985 and is headquartered in Gedera, Israel.