MTU Aero Engines (OTCMKTS:MTUAY) & Rolls-Royce Holdings PLC (OTCMKTS:RYCEY) Head to Head Contrast

Rolls-Royce Holdings PLC (OTCMKTS:RYCEY) and MTU Aero Engines (OTCMKTS:MTUAY) are both large-cap industrials companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, institutional ownership, risk, earnings, dividends and valuation.

Profitability

This table compares Rolls-Royce Holdings PLC and MTU Aero Engines’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rolls-Royce Holdings PLC	N/A	N/A	N/A
MTU Aero Engines	10.43%	23.33%	8.02%

Institutional and Insider Ownership

0.1% of Rolls-Royce Holdings PLC shares are held by institutional investors. Comparatively, 0.0% of MTU Aero Engines shares are held by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Dividends

Rolls-Royce Holdings PLC pays an annual dividend of $0.16 per share and has a dividend yield of 0.8%. MTU Aero Engines pays an annual dividend of $1.49 per share and has a dividend yield of 0.7%. MTU Aero Engines pays out 14.6% of its earnings in the form of a dividend.

Valuation & Earnings

This table compares Rolls-Royce Holdings PLC and MTU Aero Engines”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rolls-Royce Holdings PLC	$27.96 billion	6.15	$7.70 billion	N/A	N/A
MTU Aero Engines	$9.91 billion	2.25	$1.15 billion	$10.21	20.32

Rolls-Royce Holdings PLC has higher revenue and earnings than MTU Aero Engines.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Rolls-Royce Holdings PLC and MTU Aero Engines, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rolls-Royce Holdings PLC	0	0	4	1	3.20
MTU Aero Engines	3	4	3	1	2.18

Volatility & Risk

Rolls-Royce Holdings PLC has a beta of 1.19, indicating that its share price is 19% more volatile than the S&P 500. Comparatively, MTU Aero Engines has a beta of 1.01, indicating that its share price is 1% more volatile than the S&P 500.

Summary

Rolls-Royce Holdings PLC beats MTU Aero Engines on 9 of the 12 factors compared between the two stocks.

About Rolls-Royce Holdings PLC

Rolls-Royce Holdings plc develops and delivers complex power and propulsion solutions for air, sea, and land in the United Kingdom and internationally. The company operates through four segments: Civil Aerospace, Defence, Power Systems, and New Markets. The Civil Aerospace segment develops, manufactures, markets, and sells aero engines for large commercial aircraft, regional jet, and business aviation markets, as well as provides aftermarket services. The Defence segment is involved in the development, manufacture, marketing, and sale of military aero engines, naval engines, and submarine nuclear power plants, as well as offers aftermarket services. The Power Systems segment engages in the development, manufacture, marketing, and sale of integrated solutions for onsite power and propulsion under the mtu brand name. The New Markets segment develops, manufactures, and sells small modular reactor and new electrical power solutions. Rolls-Royce Holdings plc was founded in 1884 and is headquartered in London, the United Kingdom.

About MTU Aero Engines

MTU Aero Engines AG, together with its subsidiaries, engages in the development, manufacture, marketing, and maintenance of commercial and military aircraft engines, and aero-derivative industrial gas turbines in Germany, other European countries, North America, Asia, and internationally. It operates through two segments: Original Equipment Manufacturing (OEM Business); and Maintenance, Repair, and Overhaul (MRO Business). The company offers commercial aircraft engines for wide body jets, narrow body and regional jets, business jets, and turboprops; military aircraft engines for fighter jets, helicopters, and transporters; and industrial gas turbines. It also maintains, repairs, and overhauls commercial and military engines; and manufactures and markets various spare parts. The company was formerly known as MTU Aero Engines Holding AG and changed its name to MTU Aero Engines AG in May 2013. MTU Aero Engines AG was founded in 1913 and is headquartered in Munich, Germany.