Jewett-Cameron Trading (JCTC) vs. Its Peers Critical Review

Jewett-Cameron Trading (NASDAQ:JCTC) is one of 94 public companies in the “Building Products” industry, but how does it contrast to its competitors? We will compare Jewett-Cameron Trading to related companies based on the strength of its institutional ownership, analyst recommendations, dividends, valuation, risk, profitability and earnings.

Analyst Ratings

This is a breakdown of current ratings and price targets for Jewett-Cameron Trading and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Jewett-Cameron Trading	1	0	0	0	1.00
Jewett-Cameron Trading Competitors	697	3784	4902	222	2.48

As a group, “Building Products” companies have a potential upside of 18.23%. Given Jewett-Cameron Trading’s competitors stronger consensus rating and higher probable upside, analysts plainly believe Jewett-Cameron Trading has less favorable growth aspects than its competitors.

Valuation & Earnings

This table compares Jewett-Cameron Trading and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Jewett-Cameron Trading	$39.41 million	-$4.13 million	-1.29
Jewett-Cameron Trading Competitors	$3.98 billion	$4.66 billion	40.58

Jewett-Cameron Trading’s competitors have higher revenue and earnings than Jewett-Cameron Trading. Jewett-Cameron Trading is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Jewett-Cameron Trading and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Jewett-Cameron Trading	-20.94%	-38.35%	-29.29%
Jewett-Cameron Trading Competitors	3.25%	39.75%	4.98%

Institutional & Insider Ownership

26.0% of Jewett-Cameron Trading shares are owned by institutional investors. Comparatively, 63.6% of shares of all “Building Products” companies are owned by institutional investors. 1.3% of Jewett-Cameron Trading shares are owned by insiders. Comparatively, 10.3% of shares of all “Building Products” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Risk and Volatility

Jewett-Cameron Trading has a beta of 0.34, suggesting that its share price is 66% less volatile than the S&P 500. Comparatively, Jewett-Cameron Trading’s competitors have a beta of 1.06, suggesting that their average share price is 6% more volatile than the S&P 500.

Summary

Jewett-Cameron Trading competitors beat Jewett-Cameron Trading on 13 of the 13 factors compared.

About Jewett-Cameron Trading

Jewett-Cameron Trading Company Ltd. is a supplier of `Value-added` building materials to major home improvement center chains in the western United States. The Company concentrates on the residential repair and remodeling segment of the building materials industry.