Vontier (VNT) versus Its Peers Critical Contrast

Vontier (NYSE:VNT) is one of 377 public companies in the “Electronic Equipment, Instruments & Components” industry, but how does it compare to its peers? We will compare Vontier to similar businesses based on the strength of its profitability, risk, valuation, earnings, institutional ownership, dividends and analyst recommendations.

Insider & Institutional Ownership

95.8% of Vontier shares are held by institutional investors. Comparatively, 43.5% of shares of all “Electronic Equipment, Instruments & Components” companies are held by institutional investors. 1.1% of Vontier shares are held by company insiders. Comparatively, 16.1% of shares of all “Electronic Equipment, Instruments & Components” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Dividends

Vontier pays an annual dividend of $0.10 per share and has a dividend yield of 0.2%. Vontier pays out 4.1% of its earnings in the form of a dividend. As a group, “Electronic Equipment, Instruments & Components” companies pay a dividend yield of 1.9% and pay out 69.1% of their earnings in the form of a dividend.

Earnings & Valuation

This table compares Vontier and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Vontier	$3.08 billion	$406.10 million	17.64
Vontier Competitors	$4.00 billion	$172.92 million	4.46

Vontier’s peers have higher revenue, but lower earnings than Vontier. Vontier is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Volatility and Risk

Vontier has a beta of 1.13, meaning that its stock price is 13% more volatile than the S&P 500. Comparatively, Vontier’s peers have a beta of -0.28, meaning that their average stock price is 128% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Vontier and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vontier	1	3	4	0	2.38
Vontier Competitors	2049	7626	10456	667	2.47

Vontier presently has a consensus target price of $42.86, suggesting a potential downside of 0.45%. As a group, “Electronic Equipment, Instruments & Components” companies have a potential upside of 36.26%. Given Vontier’s peers stronger consensus rating and higher probable upside, analysts clearly believe Vontier has less favorable growth aspects than its peers.

Profitability

This table compares Vontier and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vontier	11.34%	38.57%	11.30%
Vontier Competitors	-160.23%	-30.21%	-6.88%

Summary

Vontier beats its peers on 8 of the 15 factors compared.

About Vontier

Vontier Corporation (NYSE: VNT) is a global technology company serving the mobility, convenience retail and commercial transportation industries. Its products and services help businesses manage fueling and energy infrastructure, vehicle maintenance, payments and fleet operations. The company’s offerings include fuel dispensers and payment systems, fuel-management and tank-monitoring technology, fleet telematics, vehicle diagnostic equipment and tools, and software for electric-vehicle charging.