Head-To-Head Review: Proto Labs (NYSE:PRLB) and Symbotic (NASDAQ:SYM)

Symbotic (NASDAQ:SYM) and Proto Labs (NYSE:PRLB) are both industrials companies, but which is the better business? We will compare the two businesses based on the strength of their risk, valuation, institutional ownership, earnings, dividends, profitability and analyst recommendations.

Insider & Institutional Ownership

84.5% of Proto Labs shares are held by institutional investors. 8.2% of Symbotic shares are held by company insiders. Comparatively, 1.3% of Proto Labs shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Symbotic and Proto Labs’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Symbotic	0.48%	1.40%	0.41%
Proto Labs	5.44%	4.80%	4.22%

Risk & Volatility

Symbotic has a beta of 1.94, meaning that its share price is 94% more volatile than the S&P 500. Comparatively, Proto Labs has a beta of 1.42, meaning that its share price is 42% more volatile than the S&P 500.

Valuation & Earnings

This table compares Symbotic and Proto Labs”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Symbotic	$2.25 billion	11.70	-$16.94 million	$0.09	483.00
Proto Labs	$533.13 million	4.32	$21.24 million	$1.25	76.95

Proto Labs has lower revenue, but higher earnings than Symbotic. Proto Labs is trading at a lower price-to-earnings ratio than Symbotic, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings and recommmendations for Symbotic and Proto Labs, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Symbotic	2	5	7	0	2.36
Proto Labs	0	0	3	1	3.25

Symbotic currently has a consensus target price of $65.42, suggesting a potential upside of 50.49%. Proto Labs has a consensus target price of $89.00, suggesting a potential downside of 7.47%. Given Symbotic’s higher probable upside, research analysts plainly believe Symbotic is more favorable than Proto Labs.

Summary

Proto Labs beats Symbotic on 8 of the 15 factors compared between the two stocks.

About Symbotic

Symbotic Inc., an automation technology company, engages in developing technologies to improve operating efficiencies in modern warehouses. The company automates the processing of pallets and cases in large warehouses or distribution centers for retail companies. Its systems enhance operations at the front end of the supply chain. The company was founded in 2006 and is headquartered in Wilmington, Massachusetts.

About Proto Labs

Proto Labs, Inc., together with its subsidiaries, operates as a digital manufacturer of custom parts in the United States and Europe. The company offers injection molding; computer numerical control machining; three-dimensional printing; and sheet metal fabrication products. It serves developers and engineers, who use 3D computer-aided design software to design products across a range of end-markets. Proto Labs, Inc. was incorporated in 1999 and is headquartered in Maple Plain, Minnesota.