Heico (NYSE:HEI) vs. Teledyne Technologies (NYSE:TDY) Head-To-Head Contrast

Heico (NYSE:HEI) and Teledyne Technologies (NYSE:TDY) are both large-cap aerospace companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, risk, analyst recommendations, dividends, institutional ownership, valuation and profitability.

Profitability

This table compares Heico and Teledyne Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Heico	14.96%	16.29%	8.00%
Teledyne Technologies	14.54%	9.96%	6.67%

Valuation & Earnings

This table compares Heico and Teledyne Technologies”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Heico	$4.29 billion	10.35	$514.11 million	$4.57	69.78
Teledyne Technologies	$5.67 billion	4.60	$819.20 million	$18.16	30.62

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

Institutional and Insider Ownership

27.1% of Heico shares are owned by institutional investors. Comparatively, 91.6% of Teledyne Technologies shares are owned by institutional investors. 9.6% of Heico shares are owned by insiders. Comparatively, 1.5% of Teledyne Technologies shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent recommendations for Heico and Teledyne Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Heico	0	6	9	0	2.60
Teledyne Technologies	0	1	6	0	2.86

Heico currently has a consensus target price of $346.09, indicating a potential upside of 8.52%. Teledyne Technologies has a consensus target price of $576.57, indicating a potential upside of 3.69%. Given Heico’s higher possible upside, equities analysts plainly believe Heico is more favorable than Teledyne Technologies.

Volatility and Risk

Heico has a beta of 1.08, indicating that its share price is 8% more volatile than the S&P 500. Comparatively, Teledyne Technologies has a beta of 1.09, indicating that its share price is 9% more volatile than the S&P 500.

Summary

Heico beats Teledyne Technologies on 8 of the 14 factors compared between the two stocks.

About Heico

HEICO Corporation, through its subsidiaries, designs, manufactures, and sells aerospace, defense, and electronic related products and services in the United States and internationally. Its Flight Support Group segment provides jet engine and aircraft component replacement parts; thermal insulation blankets and parts; renewable/reusable insulation systems; and specialty components. This segment also distributes hydraulic, pneumatic, structural, interconnect, mechanical, and electro-mechanical components for the commercial, regional, and general aviation markets; and offers repair and overhaul services for jet engine and aircraft component parts, avionics, instruments, composites, and flight surfaces of commercial aircraft, as well as for avionics and navigation systems, and other instruments utilized on military aircraft. The company's Electronic Technologies Group segment provides electro-optical infrared simulation and test equipment; electro-optical laser products; electro-optical, microwave, and other power equipment; electromagnetic and radio frequency (RF) interference shielding and suppression filters; power conversion and interface; interconnection devices; and underwater locator beacons and emergency locator transmission beacons. This segment also offers traveling wave tube amplifiers and microwave power modules; memory products and specialty semiconductors; harsh environment connectivity products and custom molded cable assemblies; RF and microwave products; communications and electronic intercept receivers and tuners; self-sealing auxiliary fuel systems; active antenna systems and airborne antennas; nuclear radiation detectors; silicone products; power amplifiers; ceramic-to-metal feedthroughs and connectors; technical surveillance countermeasures equipment; RF receivers and sources; embedded computing solutions; test sockets and adapters; and radiation assurance services. The company was incorporated in 1957 and is headquartered in Hollywood, Florida.

About Teledyne Technologies

Teledyne Technologies Incorporated, together with its subsidiaries, provides enabling technologies for industrial growth markets in the United States and internationally. Its Digital Imaging segment provides visible spectrum sensors and digital cameras; and infrared, ultraviolet, visible, and X-ray spectra; as well as micro electromechanical systems and semiconductors, including analog-to-digital and digital-to-analog converters. This segment also offers cooled and uncooled infrared or thermal products, including sensors, camera cores, and camera systems; high-resolution, low-dose X-ray sensors, high-power microwave, and high-energy X-ray subsystems; and instruments for the measurement of physical properties and maritime products; as well as develops and manufactures multi-spectrum electro-optic/infrared imaging systems and associated products, such as lasers, optics, and radars, CBRNE (Chemical, Biological, Radiological, Nuclear and Explosive detectors), and unmanned air and ground systems. The company's Instrumentation segment offers monitoring, control, and electronic test and measurement equipment; and power and communications connectivity devices for distributed instrumentation systems and sensor networks. The company's Aerospace and Defense Electronics segment provides electronic components and subsystems, data acquisition and communications components and equipment, harsh environment interconnects, general aviation batteries, and other components; and onboard avionics systems and ground-based applications, aircraft data and connectivity solutions, hardware systems, and software applications. Its Engineered Systems segment offers systems engineering and integration, technology development, and manufacturing solutions for defense, space, environmental, and energy applications; and designs and manufactures electrochemical energy systems and electronics for military applications. The company was founded in 1960 and is headquartered in Thousand Oaks, California.