Financial Contrast: Conrad Industries (OTCMKTS:CNRD) versus L3Harris Technologies (NYSE:LHX)

L3Harris Technologies (NYSE:LHX) and Conrad Industries (OTCMKTS:CNRD) are both aerospace companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, risk, institutional ownership, earnings, profitability, valuation and analyst recommendations.

Institutional and Insider Ownership

84.8% of L3Harris Technologies shares are owned by institutional investors. Comparatively, 0.6% of Conrad Industries shares are owned by institutional investors. 0.7% of L3Harris Technologies shares are owned by company insiders. Comparatively, 31.5% of Conrad Industries shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

L3Harris Technologies has a beta of 0.65, indicating that its stock price is 35% less volatile than the S&P 500. Comparatively, Conrad Industries has a beta of 0.63, indicating that its stock price is 37% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and price targets for L3Harris Technologies and Conrad Industries, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
L3Harris Technologies	0	8	11	0	2.58
Conrad Industries	0	0	0	0	0.00

L3Harris Technologies presently has a consensus price target of $295.50, suggesting a potential upside of 2.70%. Given L3Harris Technologies’ stronger consensus rating and higher possible upside, analysts clearly believe L3Harris Technologies is more favorable than Conrad Industries.

Profitability

This table compares L3Harris Technologies and Conrad Industries’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
L3Harris Technologies	8.09%	11.08%	5.19%
Conrad Industries	4.54%	17.11%	9.83%

Earnings & Valuation

This table compares L3Harris Technologies and Conrad Industries”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
L3Harris Technologies	$21.33 billion	2.52	$1.50 billion	$9.31	30.91
Conrad Industries	$303.41 million	0.44	$11.23 million	$3.02	8.77

L3Harris Technologies has higher revenue and earnings than Conrad Industries. Conrad Industries is trading at a lower price-to-earnings ratio than L3Harris Technologies, indicating that it is currently the more affordable of the two stocks.

Summary

L3Harris Technologies beats Conrad Industries on 11 of the 14 factors compared between the two stocks.

About L3Harris Technologies

L3Harris Technologies, Inc. provides mission-critical solutions for government and commercial customers worldwide. The company's Integrated Mission Systems segment provides intelligence, surveillance, and reconnaissance (ISR) systems, passive sensing and targeting, electronic attack, autonomy, power and communications, and networks and sensors, as well as advanced combat systems for air, land, and sea sectors. Its Space and Airborne Systems segment offers space payloads, sensors, and full-mission solutions; classified intelligence and cyber; mission avionics; electronic warfare systems; and mission networks systems for air traffic management operations. The company's Communication Systems segment provides broadband communications; tactical radios, software, satellite terminals, and end-to-end battlefield systems for the U.S. Department of Defense, international, federal, and state agency customers; integrated vision solutions, including helmet-mounted integrated night vision goggles with leading-edge image intensifier tubes and weapon-mounted sights, aiming lasers, and range finders; and public safety radios, and system applications and equipment. Its Aerojet Rocketdyne segment provides propulsion technologies and armament systems for strategic defense, missile defense, hypersonic, and tactical systems; and space propulsion and power systems for national security, and space and exploration missions. The company was formerly known as Harris Corporation and changed its name to L3Harris Technologies, Inc. in June 2019. L3Harris Technologies, Inc. was founded in 1895 and is based in Melbourne, Florida.

About Conrad Industries

Conrad Industries, Inc. engages in the construction, conversion, and repair of various steel and aluminum marine vessels in the United States. The company builds harbor tugs; specialty barges, such as crane, deck, ABS class, dry bulk cargo, aggregate, and well stim barges; inland tank, LPG inland tank, LPG pressure, LPG tank, and DS tank barges; and offshore support vessels, including liftboats, crew boats, offshore supply vessels, and offshore tugs, as well as other support equipment, such as deck and crane barges. It also builds inland pushboats comprising inland towboats, inland river push boats, and towboats; and ferries, which consist of passenger, and passenger and vehicle ferries. In addition, the company offers repairs and conversions, including electrical, mechanical, propulsion, and hull repairs to large-scale conversions of ships and barges; and engages in the fabrication of modular components for offshore floating production, storage, and offloading vessels, as well as drilling rigs. The company was founded in 1948 and is headquartered in Morgan City, Louisiana.