Critical Analysis: Southland (SLND) & Its Rivals

Southland (NASDAQ:SLND) is one of 18 publicly-traded companies in the “Heavy construction, except building construction – contractors” industry, but how does it compare to its competitors? We will compare Southland to related businesses based on the strength of its earnings, risk, analyst recommendations, profitability, dividends, institutional ownership and valuation.

Profitability

This table compares Southland and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Southland	-1.66%	-14.55%	-3.27%
Southland Competitors	1.81%	6.34%	2.87%

Analyst Recommendations

This is a breakdown of current ratings for Southland and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Southland	0	1	1	0	2.50
Southland Competitors	47	483	760	18	2.57

Southland presently has a consensus target price of $7.50, indicating a potential upside of 45.63%. As a group, “Heavy construction, except building construction – contractors” companies have a potential upside of 3.87%. Given Southland’s higher probable upside, research analysts plainly believe Southland is more favorable than its competitors.

Valuation & Earnings

This table compares Southland and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Southland	$1.16 billion	-$19.25 million	-12.26
Southland Competitors	$19.57 billion	$725.52 million	25.45

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

Insider and Institutional Ownership

2.8% of Southland shares are owned by institutional investors. Comparatively, 68.1% of shares of all “Heavy construction, except building construction – contractors” companies are owned by institutional investors. 11.4% of shares of all “Heavy construction, except building construction – contractors” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Southland competitors beat Southland on 11 of the 12 factors compared.

About Southland

Southland Holdings, Inc. engages in specialty infrastructure construction business in North America and internationally. The company operates through two segments, Civil and Transportation. The Civil segment designs and constructs water pipelines, pump stations, lift stations, water and wastewater treatment plants, concrete and structural steel, outfall, and tunneling. The Transportation segment designs and constructs bridges, roadways, marine, dredging, ship terminals and piers, and specialty structures and facilities, as well as convention centers, sports stadiums, marine facilities, and ferris wheels. Southland Holdings, Inc. was founded in 1900 and is headquartered in Grapevine, Texas.