Reviewing Motorola Solutions (NYSE:MSI) and HTC (OTCMKTS:HTCXF)

Motorola Solutions (NYSE:MSI) and HTC (OTCMKTS:HTCXF) are both computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their profitability, risk, analyst recommendations, dividends, earnings, institutional ownership and valuation.

Analyst Ratings

This is a breakdown of recent ratings for Motorola Solutions and HTC, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Motorola Solutions	0	2	8	0	2.80
HTC	0	0	0	0	0.00

Motorola Solutions currently has a consensus target price of $516.13, indicating a potential upside of 7.73%. Given Motorola Solutions’ stronger consensus rating and higher possible upside, research analysts clearly believe Motorola Solutions is more favorable than HTC.

Profitability

This table compares Motorola Solutions and HTC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Motorola Solutions	19.08%	134.30%	15.17%
HTC	48.73%	6.63%	3.32%

Valuation and Earnings

This table compares Motorola Solutions and HTC”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Motorola Solutions	$10.82 billion	7.38	$1.58 billion	$12.42	38.57
HTC	$95.93 million	N/A	-$106.31 million	($0.12)	-10.19

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

Insider & Institutional Ownership

84.2% of Motorola Solutions shares are owned by institutional investors. 1.4% of Motorola Solutions shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Motorola Solutions beats HTC on 11 of the 12 factors compared between the two stocks.

About Motorola Solutions

Motorola Solutions, Inc. provides public safety and enterprise security solutions in the United States, the United Kingdom, Canada, and internationally. The company operates in two segments, Products and Systems Integration, and Software and Services. The Products and Systems Integration segment offers a portfolio of infrastructure, devices, accessories, and video security devices and infrastructure, as well as the implementation and integration of systems, devices, software, and applications for government, public safety, and commercial customers who operate private communications networks and video security solutions, as well as manage a mobile workforce. Its land mobile radio communications, and video security and access control devices include two-way portable and vehicle-mounted radios, fixed video cameras, and accessories; communications network core and central processing software, base stations, consoles, and repeaters; and video analytics, network video management hardware and software, and access control solutions. The Software and Services segment provides public safety and enterprise command center, unified communications applications, mobile video equipment, and video software solutions; repair, technical support, and maintenance services; and monitoring, software updates, and cybersecurity services to government, public safety, and commercial communications networks. It serves hospitality; manufacturing; military and defence; public safety; mining; oil and gas; transportation and logistics; utilities industries. The company was formerly known as Motorola, Inc. and changed its name to Motorola Solutions, Inc. in January 2011. Motorola Solutions, Inc. was founded in 1928 and is headquartered in Chicago, Illinois.

About HTC

HTC Corporation designs and manufactures mobile devices. Its portfolio includes smartphones and tablets powered by the Android or Windows Phone operating systems. It offers its products under the brand named HTC, including HTC Wildfire, HTC Desire, HTC Flyer, HTC ChaCha, HTC Salsa, HTC Incredible S, HTC Sensation, HTC 7 Mozart, HTC Aria and HTC 7 Trophy, among others. HTC Corporation is headquartered in Taoyuan County, Taiwan.