Head-To-Head Comparison: Dorel Industries (DIIBF) versus Its Competitors

Dorel Industries (OTCMKTS:DIIBF) is one of 150 public companies in the “Household Durables” industry, but how does it compare to its peers? We will compare Dorel Industries to related businesses based on the strength of its risk, valuation, dividends, analyst recommendations, institutional ownership, profitability and earnings.

Analyst Ratings

This is a breakdown of recent recommendations for Dorel Industries and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dorel Industries	0	1	0	0	2.00
Dorel Industries Competitors	1817	7451	8178	317	2.39

As a group, “Household Durables” companies have a potential upside of 43.65%. Given Dorel Industries’ peers stronger consensus rating and higher probable upside, analysts plainly believe Dorel Industries has less favorable growth aspects than its peers.

Dividends

Dorel Industries pays an annual dividend of $0.60 per share and has a dividend yield of 61.6%. Dorel Industries pays out -21.4% of its earnings in the form of a dividend. As a group, “Household Durables” companies pay a dividend yield of 4.1% and pay out 31.9% of their earnings in the form of a dividend. Dorel Industries is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Earnings and Valuation

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

	Gross Revenue	Net Income	Price/Earnings Ratio
Dorel Industries	$1.19 billion	-$142.22 million	-0.35
Dorel Industries Competitors	$130.89 billion	$313.99 million	8.90

Dorel Industries’ peers have higher revenue and earnings than Dorel Industries. Dorel Industries is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Dorel Industries	-8.90%	N/A	-10.11%
Dorel Industries Competitors	-2.55%	-17.08%	1.25%

Risk & Volatility

Dorel Industries has a beta of 1.11, suggesting that its share price is 11% more volatile than the S&P 500. Comparatively, Dorel Industries’ peers have a beta of 1.77, suggesting that their average share price is 77% more volatile than the S&P 500.

Institutional & Insider Ownership

53.6% of shares of all “Household Durables” companies are held by institutional investors. 19.3% of Dorel Industries shares are held by company insiders. Comparatively, 18.2% of shares of all “Household Durables” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Dorel Industries peers beat Dorel Industries on 11 of the 15 factors compared.

Dorel Industries Company Profile

Dorel Industries Inc. was a Canadian consumer-products company headquartered in Montreal, Quebec. Founded in 1962, the company developed and marketed products through three principal business areas: juvenile products, home furnishings and recreational products. Its brands and operations served consumers through major retailers, e-commerce channels and specialty dealers in North America, Europe, Latin America and other international markets. Dorel Juvenile produced car seats, strollers, playards, high chairs and other infant and child-care products.