Head to Head Analysis: DIRTT Environmental Solutions (NASDAQ:DRTT) and Assa Abloy (OTCMKTS:ASAZY)

Assa Abloy (OTCMKTS:ASAZY) and DIRTT Environmental Solutions (NASDAQ:DRTT) are both industrials companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, earnings, institutional ownership, dividends, profitability, risk and valuation.

Analyst Ratings

This is a summary of current recommendations for Assa Abloy and DIRTT Environmental Solutions, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Assa Abloy	0	3	4	1	2.75
DIRTT Environmental Solutions	0	0	0	0	0.00

Earnings and Valuation

This table compares Assa Abloy and DIRTT Environmental Solutions”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Assa Abloy	$15.58 billion	2.75	$1.50 billion	$0.79	24.41
DIRTT Environmental Solutions	$170.63 million	0.37	-$54.96 million	($0.25)	-2.42

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

Insider and Institutional Ownership

58.7% of DIRTT Environmental Solutions shares are held by institutional investors. 40.5% of DIRTT Environmental Solutions shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Assa Abloy and DIRTT Environmental Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Assa Abloy	10.82%	15.56%	7.59%
DIRTT Environmental Solutions	-12.81%	-150.32%	-15.10%

Risk & Volatility

Assa Abloy has a beta of 1.16, meaning that its share price is 16% more volatile than the S&P 500. Comparatively, DIRTT Environmental Solutions has a beta of 1.2, meaning that its share price is 20% more volatile than the S&P 500.

Summary

Assa Abloy beats DIRTT Environmental Solutions on 11 of the 14 factors compared between the two stocks.

About Assa Abloy

ASSA ABLOY AB (publ) provides door opening and access products, solutions, and services for the institutional, commercial, and residential markets in Europe, the Middle East, India, Africa, North and South America, Asia, and Oceania. The company provides digital access solutions, such as electronic access control ecosystem, wireless solutions, electronic key solutions, standalone access solutions, and wired solutions; swing, revolving, and sliding doors; mechanical products, including hinges, lever handles, mortise lockcases, euro profile cylinders, panic exit devices, door closers, floor spring, and general hardware; and doors. It offers Openings Studio, a building information modeling software ecosystem is collaboration tool for designing, documenting, and managing openings. The company provides its products primarily under the ASSA ABLOY, Yale, and HID brands. It sells its products through distributors and wholesalers. The company serves aviation, education, distribution and logistics, entertainment and public facility, finance and banking, government and military, healthcare, hospitality, manufacturing, mining, office and enterprise, homes and residence, retail, shipyards, and transportation industries. ASSA ABLOY AB (publ) was incorporated in 1954 and is based in Stockholm, Sweden.

About DIRTT Environmental Solutions

DIRTT Environmental Solutions Ltd. operates as a interior construction company in Canada. Its ICE software provides the industrialized construction system to design, visualize, organize, configure, and install the job. The company offers interior solutions to doors, casework, timber, electrical, networks, access floors, solid, glass, combination, leaf folding, and headwalls. It serves retail, technology, hospitality, manufacturing, energy, healthcare, education, government, military, professional, and financial service sectors. DIRTT Environmental Solutions Ltd. was incorporated in 2003 and is headquartered in Calgary, Canada.