Reviewing Xenonics (OTCMKTS:XNNHQ) and Timken (NYSE:TKR)

Timken (NYSE:TKR) and Xenonics (OTCMKTS:XNNHQ) are both computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, valuation, institutional ownership, earnings, profitability, risk and analyst recommendations.

Institutional and Insider Ownership

89.1% of Timken shares are held by institutional investors. 8.7% of Timken shares are held by company insiders. Comparatively, 8.9% of Xenonics shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings for Timken and Xenonics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Timken	0	8	4	0	2.33
Xenonics	0	0	0	0	0.00

Timken presently has a consensus price target of $82.20, suggesting a potential upside of 5.45%. Given Timken’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Timken is more favorable than Xenonics.

Earnings & Valuation

This table compares Timken and Xenonics”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Timken	$4.54 billion	1.19	$352.70 million	$4.23	18.43
Xenonics	N/A	N/A	N/A	N/A	N/A

Timken has higher revenue and earnings than Xenonics.

Profitability

This table compares Timken and Xenonics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Timken	6.54%	11.88%	5.65%
Xenonics	N/A	N/A	N/A

Summary

Timken beats Xenonics on 8 of the 9 factors compared between the two stocks.

About Timken

The Timken Company designs, manufactures, and sells engineered bearings and industrial motion products, and related services in the United States and internationally. The company's Engineered Bearings segment provides various bearing products, including tapered, spherical, and cylindrical roller bearings; plain bearings, metal-polymer bearings, and rod end bearings; radial, angular, and precision ball bearings; thrust and specialty ball bearings; journal bearings; and housed or mounted bearings. This segment serves wind energy, agriculture, construction, food and beverage, metals and mining, automotive and truck, aerospace, rail, and other industries under the Timken, GGB, and Fafnir brands. Its Industrial Motion segment offers a portfolio of engineered products comprising industrial drives, automatic lubrication systems, linear motion products and systems, chains, belts, seals, couplings, filtration systems, and industrial clutches and brakes. It also provides industrial drivetrain and bearing repairing services. This segment serves a range of industries, such as solar energy, automation, construction, agriculture and turf, passenger rail, marine, aerospace, packaging and logistics, medical, and others under the Philadelphia Gear, Cone Drive, Rollon, Nadella, Groeneveld, BEKA, Diamond, Drives, Timken Belts, Spinea, Des-Case, Lagersmit, Lovejoy, and PT Tech brands. The Timken Company was founded in 1899 and is headquartered in North Canton, Ohio.

About Xenonics

Xenonics Holdings, Inc. designs, manufactures, and markets portable illumination products and low light viewing systems (night vision) in the United States. It offers NightHunter ONE, a lightweight illumination system, which can be used on vehicles, boats, and helicopters; NightHunter EXT, a lightweight illumination system for mounting on heavy guns and for use on stationary platforms, or vehicles, boats, or helicopters; and NightHunter 3 for handheld use or mounting on light, medium, and heavy machine guns or vehicles. The company also provides SuperVision that allows user to see in the dark with clarity than conventional night vision; SuperVision Video Out to connect the video signal to a computer recording device or monitor for surveillance; SuperVision Tactical Packages for law enforcement professionals; and SuperVision Vehicle Patrol Packages to make law enforcement patrol operations safer. It markets its illumination products under the NightHunter brand and night vision products under the SuperVision brand. The company serves military forces; the U.S. Department of Homeland Security; law enforcement, fire, search, and rescue; and commercial markets. Xenonics Holdings, Inc. was founded in 1996 and is headquartered in Carlsbad, California.