Analyzing Eiffage (OTCMKTS:EFGSY) & Aecon Group (OTCMKTS:AEGXF)

Eiffage (OTCMKTS:EFGSY) and Aecon Group (OTCMKTS:AEGXF) are both industrials companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, earnings, analyst recommendations, valuation, institutional ownership, dividends and risk.

Dividends

Eiffage pays an annual dividend of $0.15 per share and has a dividend yield of 0.6%. Aecon Group pays an annual dividend of $0.35 per share and has a dividend yield of 2.0%. Eiffage pays out 25.4% of its earnings in the form of a dividend. Aecon Group pays out 95.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Insider & Institutional Ownership

45.8% of Aecon Group shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Eiffage and Aecon Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Eiffage	N/A	N/A	N/A	$0.60	42.57
Aecon Group	N/A	N/A	N/A	$0.37	47.92

Eiffage is trading at a lower price-to-earnings ratio than Aecon Group, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings and target prices for Eiffage and Aecon Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eiffage	0	2	3	0	2.60
Aecon Group	0	0	2	0	3.00

Aecon Group has a consensus price target of $23.00, indicating a potential upside of 31.35%. Given Aecon Group’s stronger consensus rating and higher possible upside, analysts clearly believe Aecon Group is more favorable than Eiffage.

Profitability

This table compares Eiffage and Aecon Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Eiffage	N/A	N/A	N/A
Aecon Group	N/A	N/A	N/A

Summary

Aecon Group beats Eiffage on 5 of the 8 factors compared between the two stocks.

About Eiffage

Eiffage SA engages in the construction, property development, urban development, civil engineering, metallic construction, roads, energy systems, and concessions businesses in France and internationally. The company operates through Construction, Infrastructure, Energy Systems, Concessions, and Holding Company segments. The Construction segment offers urban development, building design and construction, property development, and maintenance and facilities management services. The Infrastructure segment is involved in undertaking civil engineering, road and rail design and construction, drainage, earthworks, and metallic construction. The Energy Systems segment designs, constructs, integrates, operates, and maintains energy and telecommunication systems and equipment. The Concessions segment constructs and manages concession contracts and public-private partnerships. The company was founded in 1844 and is based in Vélizy-Villacoublay, France.

About Aecon Group

Aecon Group Inc., together with its subsidiaries, provide construction and infrastructure development services to private and public sector clients in Canada, the United States, and internationally. It operates through two segments, Construction and Concessions. The Construction segment focuses on civil infrastructure, urban transportation solutions, nuclear power infrastructure, utility infrastructure, and conventional industrial infrastructure market sectors. The Concessions segment engages in the development, building, financing, and operation of construction projects by way of public-private partnership contract structures. This segment also provides development of domestic international public-private partnership; private finance solution; developing strategic partnerships; leading and/or participating in development teams; and operations and maintenance of infrastructure assets services. The company was formerly known as Prefac Concrete Co. Ltd. and changed its name to Aecon Group Inc. in June 2001. Aecon Group Inc. was founded in 1867 and is headquartered in Toronto, Canada.