Analyzing Andritz (OTCMKTS:ADRZY) and Datatec (OTCMKTS:DTTLY)

Andritz (OTCMKTS:ADRZY) and Datatec (OTCMKTS:DTTLY) are both industrial products companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, profitability, risk, earnings, dividends and institutional ownership.

Analyst Ratings

This is a breakdown of current recommendations for Andritz and Datatec, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Andritz	1	0	0	0	1.00
Datatec	0	0	0	0	0.00

Profitability

This table compares Andritz and Datatec’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Andritz	5.90%	23.10%	6.10%
Datatec	N/A	N/A	N/A

Earnings & Valuation

This table compares Andritz and Datatec”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Andritz	$9.37 billion	0.63	$552.19 million	$1.09	10.40
Datatec	$5.46 billion	0.11	$45.80 million	N/A	N/A

Andritz has higher revenue and earnings than Datatec.

Risk and Volatility

Andritz has a beta of 0.91, meaning that its stock price is 9% less volatile than the S&P 500. Comparatively, Datatec has a beta of 0.19, meaning that its stock price is 81% less volatile than the S&P 500.

Dividends

Andritz pays an annual dividend of $0.34 per share and has a dividend yield of 3.0%. Datatec pays an annual dividend of $0.15 per share and has a dividend yield of 2.9%. Andritz pays out 31.2% of its earnings in the form of a dividend.

Summary

Andritz beats Datatec on 9 of the 10 factors compared between the two stocks.

About Andritz

Andritz AG provides plants, equipment, and services for pulp and paper industry, metalworking and steel industries, hydropower stations, and solid/liquid separation in the municipal and industrial sectors in Europe, North America, South America, China, Asia, and internationally. It operates through four segments: Pulp & Paper, Metals, Hydro, and Separation. The Pulp & Paper segment supplies technology, automation, and service solutions to produce pulp, paper, board, and tissue; boilers for power generation; flue gas cleaning systems; nonwovens technologies; panelboard production systems; and recycling, shredding, and energy solutions for various waste materials. The Metals segment provides technologies, plants, and digital solutions, including automation and software solutions, and process know-how and services; and solutions for the production and processing of flat products for welding systems and industrial furnaces, as well as services for the metals processing industry. The Hydro segment supplies electromechanical equipment and services for hydropower plants; offers plant diagnosis, refurbishment, modernization, and upgradation of existing hydropower plants; and pumps for irrigation, water supply, and flood control, as well as turbo generators. The Separation segment offers mechanical and thermal technologies, as well as services and related automation solutions for solid/liquid separation to serve chemical, environmental, food, mining, and minerals industries; and technologies and services to produce animal feed and biomass pellets. The company was founded in 1852 and is headquartered in Graz, Austria.

About Datatec

Datatec Limited, together with its subsidiaries, provides information and communication technology (ICT) solutions and services worldwide. It operates in four segments: Westcon International, Logicalis International, Logicalis Latin America, and Corporate and Management Consulting. The company distributes cyber security, network infrastructure, unified collaboration products, data centre solutions, and channel services; and offers financing/leasing solutions for ICT customers. It offers solutions through a network of service providers, systems integrators, and specialty resellers under the Westcon and Comstor brands. The company also provides digital services; and strategic, trusted advisory, modeling, and market intelligence services to the telecoms, media, and technology industries. Datatec Limited was founded in 1986 and is headquartered in Sandown, South Africa.