Financial Analysis: Littelfuse (NASDAQ:LFUS) vs. Orbit International (OTCMKTS:ORBT)

Littelfuse (NASDAQ:LFUS) and Orbit International (OTCMKTS:ORBT) are both computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their dividends, valuation, institutional ownership, analyst recommendations, profitability, risk and earnings.

Earnings & Valuation

This table compares Littelfuse and Orbit International”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Littelfuse	$2.19 billion	2.52	$100.19 million	$4.32	51.72
Orbit International	$29.90 million	0.32	-$650,000.00	($0.62)	-4.35

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

Profitability

This table compares Littelfuse and Orbit International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Littelfuse	4.89%	9.00%	5.65%
Orbit International	-7.20%	-11.49%	-8.01%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Littelfuse and Orbit International, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Littelfuse	0	4	2	0	2.33
Orbit International	0	0	0	0	0.00

Littelfuse currently has a consensus price target of $252.25, suggesting a potential upside of 12.89%. Given Littelfuse’s stronger consensus rating and higher possible upside, analysts plainly believe Littelfuse is more favorable than Orbit International.

Volatility & Risk

Littelfuse has a beta of 1.38, indicating that its stock price is 38% more volatile than the S&P 500. Comparatively, Orbit International has a beta of 0.12, indicating that its stock price is 88% less volatile than the S&P 500.

Insider and Institutional Ownership

96.1% of Littelfuse shares are held by institutional investors. 2.5% of Littelfuse shares are held by insiders. Comparatively, 11.3% of Orbit International shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Littelfuse beats Orbit International on 13 of the 14 factors compared between the two stocks.

About Littelfuse

Littelfuse, Inc. designs, manufactures, and sells electronic components, modules, and subassemblies in the Americas, Asia-Pacific, and Europe. The company operates through Electronic, Transportation, and Industrial segments. The Electronics segment offers fuses and fuse accessories, positive temperature coefficient resettable fuses, electromechanical switches and interconnect solutions, polymer electrostatic discharge suppressors, varistors, reed switch based magnetic sensing products, and gas discharge tubes; and discrete transient voltage suppressor (TVS) diodes, TVS diode arrays, protection and switching thyristors, metal-oxide-semiconductor field-effect transistors and diodes, and insulated gate bipolar transistors. This segment serves industrial motor drives and power conversion, automotive electronics, electric vehicle and related charging infrastructure, aerospace, power supplies, data centers, telecommunications, medical devices, alternative energy, building and home automation, appliances, and mobile electronics markets. The Transportation segment provides blade, resettable, and high-current and high-voltage fuses, as well as battery cable protectors; fuses, switches, relays, circuit breakers, and power distribution modules; and sensor products. This segment serves heavy-duty truck, construction, agriculture, material handling, and marine. The Industrial segment offers industrial fuses, protection relays, contactors, transformers, residual current devices, ground fault circuit interrupters, residual current monitors, arc fault detection devices, and temperature sensors for use in renewable energy and energy storage systems, electric vehicle infrastructure, HVAC systems, industrial safety, non-residential construction, MRO, mining, and factory automation. It sells its products through distributors, direct sales force, and manufacturers' representatives. Littelfuse, Inc. was founded in 1927 and is headquartered in Chicago, Illinois.

About Orbit International

Orbit International Corp. engages in the design, manufacture, and sale of electronic components and subsystems, and commercial and custom power units for prime contractors, government procurement agencies, and research and development laboratories worldwide. The company operates in two segments, Electronics Group and Power Group. The Electronics Group segment designs, manufactures, and sells customized electronic components and subsystems. This segment offers remote control units, intercommunication panels, displays, keyboards, keypads and pointing devices, operator control trays, and command display units, as well as provides LCD display modules, military simulation and training bezels, electronic control assemblies, and multi-function displays design and enhancement services. The Power Group segment designs and manufactures commercial power units, AC power, frequency converters, uninterruptible power supplies, armament systems, and commercial-off-the-shelf power solutions, as well as inverters. The company was formerly known as Orbit Instrument Corp. and changed its name to Orbit International Corp. in July 1991. Orbit International Corp. was founded in 1957 and is based in Hauppauge, New York.