Analyzing Trelleborg AB (publ) (OTCMKTS:TBABF) & Crane (NYSE:CR)

Crane (NYSE:CR) and Trelleborg AB (publ) (OTCMKTS:TBABF) are both industrials companies, but which is the better stock? We will contrast the two companies based on the strength of their profitability, institutional ownership, valuation, earnings, dividends, analyst recommendations and risk.

Earnings and Valuation

This table compares Crane and Trelleborg AB (publ)’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Crane	$2.14 billion	3.88	$401.10 million	$3.73	38.90
Trelleborg AB (publ)	N/A	N/A	N/A	$7.66	4.58

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

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Crane	13.10%	24.45%	10.14%
Trelleborg AB (publ)	N/A	N/A	N/A

Analyst Ratings

This is a summary of current ratings for Crane and Trelleborg AB (publ), as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Crane	0	1	6	0	2.86
Trelleborg AB (publ)	0	0	1	0	3.00

Crane presently has a consensus price target of $137.00, indicating a potential downside of 5.59%. Given Crane’s higher possible upside, equities analysts clearly believe Crane is more favorable than Trelleborg AB (publ).

Insider and Institutional Ownership

75.1% of Crane shares are held by institutional investors. Comparatively, 41.0% of Trelleborg AB (publ) shares are held by institutional investors. 2.4% of Crane shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Dividends

Crane pays an annual dividend of $0.82 per share and has a dividend yield of 0.6%. Trelleborg AB (publ) pays an annual dividend of $2.28 per share and has a dividend yield of 6.5%. Crane pays out 22.0% of its earnings in the form of a dividend. Trelleborg AB (publ) pays out 29.7% 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. Crane has increased its dividend for 1 consecutive years.

Summary

Crane beats Trelleborg AB (publ) on 11 of the 14 factors compared between the two stocks.

About Crane

Crane Company, together with its subsidiaries, manufactures and sells engineered industrial products in the United States, Canada, the United Kingdom, Continental Europe, and internationally. The company operates in three segments: Aerospace & Electronics, Process Flow Technologies, and Engineered Materials. The Aerospace & Electronics segment supplies critical components and systems, including original equipment and aftermarket parts for commercial aerospace, as well as the military aerospace, defense, and space markets. This segment also offers pressure sensors for aircraft engine control, aircraft braking systems for commercial aircraft and fighter jets, power conversion solutions for spacecraft, and lubrication systems. The Process Flow Technologies segment provides engineered fluid handling equipment for mission-critical applications. It offers process valves and related products, such as lined pipe, fittings and hoses, air-operated diaphragm and peristaltic pumps, instrumentation and sampling systems, valve positioning and control systems, and valve diagnostic and calibration systems; commercial valves; and pumps and systems. The Engineered Materials segment manufactures fiberglass-reinforced plastic panels and coils for use in the manufacturing of recreational vehicles, as well as in commercial and industrial building applications. This segment sells directly to RV, trailer, and truck manufacturers, as well as through distributors and retailers. The company provides its products and solutions to end markets, including commercial and military aerospace, defense, and space; chemical and pharmaceutical production; water and wastewater; non-residential and municipal construction; energy; and other general industrial and consumer-related applications. The company was formerly known as Crane Holdings, Co. Crane Company was founded in 1855 and is based in Stamford, Connecticut.

About Trelleborg AB (publ)

Trelleborg AB (publ) provides engineered polymer solutions for seal, damp, and protect critical applications worldwide. The company offers antivibration solutions; automotive boots and noise damping; bearings and bushings; engineered coated fabrics; engineered molded parts; fenders, docking, and mooring; floatover; and fluid handling solutions. It provides healthcare and medical; pipe seals and repair; sealing profiles; sealing; rubber sheeting; tunnel seals; and wear protection solutions. In addition, the company offers bridge bearings; bridge expansion joints; cable and rubber compounds; electrical protection; embedded rail system; flat gaskets; grout seals; inflatable; milk liners; and noise and vibration damping solutions. Further, it provides oil sand; rubber flooring; ship fenders; squeegees; and truck and diesel solutions. Trelleborg AB (publ) was incorporated in 1905 and is based in Trelleborg, Sweden.