WillScot (NASDAQ:WSC) vs. Skanska AB (publ) (OTCMKTS:SKSBF) Financial Analysis

WillScot (NASDAQ:WSC) and Skanska AB (publ) (OTCMKTS:SKSBF) are both industrials companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, institutional ownership, valuation, risk, analyst recommendations, earnings and profitability.

Earnings & Valuation

This table compares WillScot and Skanska AB (publ)”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WillScot	$2.28 billion	1.92	-$52.99 million	($0.38)	-63.89
Skanska AB (publ)	N/A	N/A	N/A	$8.45	3.31

Skanska AB (publ) has lower revenue, but higher earnings than WillScot. WillScot is trading at a lower price-to-earnings ratio than Skanska AB (publ), indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares WillScot and Skanska AB (publ)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WillScot	-2.99%	20.65%	3.31%
Skanska AB (publ)	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent ratings for WillScot and Skanska AB (publ), as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WillScot	1	7	3	0	2.18
Skanska AB (publ)	0	0	0	0	0.00

WillScot presently has a consensus price target of $26.25, indicating a potential upside of 8.11%. Given WillScot’s stronger consensus rating and higher probable upside, analysts plainly believe WillScot is more favorable than Skanska AB (publ).

Insider & Institutional Ownership

95.8% of WillScot shares are held by institutional investors. Comparatively, 24.2% of Skanska AB (publ) shares are held by institutional investors. 3.4% of WillScot shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Dividends

WillScot pays an annual dividend of $0.28 per share and has a dividend yield of 1.2%. Skanska AB (publ) pays an annual dividend of $4.38 per share and has a dividend yield of 15.6%. WillScot pays out -73.7% of its earnings in the form of a dividend. Skanska AB (publ) pays out 51.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Summary

WillScot beats Skanska AB (publ) on 9 of the 13 factors compared between the two stocks.

About WillScot

WillScot Holdings Corporation provides workspace and portable storage solutions in the United States, Canada, and Mexico. It operates in two segments, Modular Solutions and Storage Solutions. Its modular solutions include panelized and stackable offices, single-wide modular space units, section modulars and redi-plex, classrooms, ground level offices, blast-resistant modules, clearspan structures, and other modular space; and portable storage solutions, such as portable and cold storage containers, as well as trailers. The company leases modular space and portable storage units to customers in the construction, commercial and industrial, retail and wholesale trade, energy and natural resources, education, government and institutions, and healthcare markets. The company offers its solutions primarily under the WillScot and Mobile Mini brand names. The company was formerly known as WillScot Mobile Mini Holdings Corp. and changed its name to WillScot Holdings Corporation in July 2024. WillScot Mobile Mini Holdings Corp. is headquartered in Phoenix, Arizona.

About Skanska AB (publ)

Skanska AB (publ) operates as a construction and project development company in the Nordic region, Europe, and the United States. It operates through four segments: Construction, Residential Development, Commercial Property Development, and Investment Properties. The Construction segment builds schools, hospitals, healthcare and science laboratories, rails, subways, airports, highways, bridges, tunnels, offices, and homes. The Residential Development segment develops, builds, and sells residential projects, including single and multi-family housing. The Commercial Property Development segment initiates, develops, leases, and divests in offices, life-science, and logistics and other commercial warehouses, as well as residential rental properties. The Investment Properties segment owns and manages investment properties. It also produces asphalt, gravel, rock, concrete gravel, road construction materials, macadam, and concrete. In addition, the company engages in the construction and renovation of buildings; provision of infrastructure services, including operation, maintenance, and construction work; and rental of machines and equipment. Skanska AB (publ) was founded in 1887 and is headquartered in Stockholm, Sweden.