Head-To-Head Analysis: Franklin Electric (FELE) vs. Its Competitors

Franklin Electric (NASDAQ:FELE – Get Free Report) is one of 23 publicly-traded companies in the “MACH – ELECTRICAL” industry, but how does it compare to its rivals? We will compare Franklin Electric to similar companies based on the strength of its dividends, profitability, earnings, valuation, analyst recommendations, risk and institutional ownership.

Dividends

Franklin Electric pays an annual dividend of $1.12 per share and has a dividend yield of 1.2%. Franklin Electric pays out 34.8% of its earnings in the form of a dividend. As a group, “MACH – ELECTRICAL” companies pay a dividend yield of 0.9% and pay out 18.9% of their earnings in the form of a dividend. Franklin Electric has raised its dividend for 33 consecutive years.

Valuation and Earnings

This table compares Franklin Electric and its rivals top-line revenue, earnings per share (EPS) and valuation.

Franklin Electric’s rivals have higher revenue and earnings than Franklin Electric. Franklin Electric is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Volatility and Risk

Franklin Electric has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500. Comparatively, Franklin Electric’s rivals have a beta of 1.33, suggesting that their average share price is 33% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for Franklin Electric and its rivals, as reported by MarketBeat.

Franklin Electric presently has a consensus target price of $106.00, indicating a potential upside of 10.93%. As a group, “MACH – ELECTRICAL” companies have a potential upside of 0.56%. Given Franklin Electric’s higher probable upside, equities analysts clearly believe Franklin Electric is more favorable than its rivals.

Profitability

This table compares Franklin Electric and its rivals’ net margins, return on equity and return on assets.

Insider and Institutional Ownership

80.0% of Franklin Electric shares are owned by institutional investors. Comparatively, 59.8% of shares of all “MACH – ELECTRICAL” companies are owned by institutional investors. 2.7% of Franklin Electric shares are owned by insiders. Comparatively, 3.5% of shares of all “MACH – ELECTRICAL” companies are owned by 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.

Summary

Franklin Electric rivals beat Franklin Electric on 8 of the 15 factors compared.

Franklin Electric Company Profile

(Get Free Report)

Franklin Electric Co., Inc., together with its subsidiaries, designs, manufactures, and distributes water and fuel pumping systems worldwide. The company operates through Water Systems, Fueling Systems, and Distribution segments. The Water Systems segment offers submersible motors, drives, pumps, electronic controls, water treatment systems, monitoring devices, and related parts and equipment. Its motors and pumps are used principally for pumping clean water and wastewater in various residential, agricultural, municipal, and industrial applications; and manufactures electronic drives and controls that are used in motors for controlling functionality, as well as provides protection from various hazards, such as electrical surges, over-heating, and dry wells or tanks. The Fueling Systems segment provides pumps, pipes, sumps, fittings, vapor recovery components, electronic controls, monitoring devices, and related parts and equipment primarily for use in fueling system applications. This segment serves other energy markets, such as power reliability systems, as well as includes electronic devices for online monitoring of the power utility, hydroelectric, and telecommunication and data center infrastructure. The Distribution segment sells to and provides presale support and specifications to the installing contractors. It sells products produced by the Water Systems segment. The company sells its products to wholesale and retail distributors, specialty distributors, original equipment manufacturers, industrial and petroleum equipment distributors, and oil and utility companies through its employee sales force and independent manufacturing representatives. Franklin Electric Co., Inc. was founded in 1944 and is headquartered in Fort Wayne, Indiana.