Comparing Miller Industries (NYSE:MLR) and Westport Fuel Systems (NASDAQ:WPRT)
by Tristan Rich · The Markets DailyWestport Fuel Systems (NASDAQ:WPRT – Get Free Report) and Miller Industries (NYSE:MLR – Get Free Report) are both small-cap auto/tires/trucks companies, but which is the superior stock? We will contrast the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, risk, dividends, earnings and valuation.
Insider & Institutional Ownership
21.3% of Westport Fuel Systems shares are held by institutional investors. Comparatively, 79.2% of Miller Industries shares are held by institutional investors. 0.8% of Westport Fuel Systems shares are held by company insiders. Comparatively, 4.5% of Miller Industries shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Analyst Ratings
This is a summary of current ratings and target prices for Westport Fuel Systems and Miller Industries, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Westport Fuel Systems | 1 | 2 | 1 | 0 | 2.00 |
| Miller Industries | 1 | 1 | 1 | 0 | 2.00 |
Westport Fuel Systems currently has a consensus price target of $4.38, indicating a potential upside of 113.41%. Miller Industries has a consensus price target of $50.00, indicating a potential upside of 4.29%. Given Westport Fuel Systems’ higher probable upside, equities research analysts clearly believe Westport Fuel Systems is more favorable than Miller Industries.
Earnings & Valuation
This table compares Westport Fuel Systems and Miller Industries”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Westport Fuel Systems | $23.32 million | 1.53 | -$61.63 million | ($3.75) | -0.55 |
| Miller Industries | $790.27 million | 0.69 | $23.01 million | $1.34 | 35.78 |
Miller Industries has higher revenue and earnings than Westport Fuel Systems. Westport Fuel Systems is trading at a lower price-to-earnings ratio than Miller Industries, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Westport Fuel Systems and Miller Industries’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Westport Fuel Systems | -68.55% | -37.38% | -21.60% |
| Miller Industries | 2.08% | 3.70% | 2.58% |
Volatility and Risk
Westport Fuel Systems has a beta of 2.1, indicating that its stock price is 110% more volatile than the S&P 500. Comparatively, Miller Industries has a beta of 1.1, indicating that its stock price is 10% more volatile than the S&P 500.
Summary
Miller Industries beats Westport Fuel Systems on 9 of the 12 factors compared between the two stocks.
About Westport Fuel Systems
Westport Fuel Systems Inc. engages in the engineering, manufacturing, and supplying alternative fuel systems and components for use in transportation applications in Europe, Asia, North America, South America, and internationally. The company operates through two segments, Original Equipment Manufacturers and Independent Aftermarket. It offers alternative fuel systems and components, such as liquefied petroleum gas (LPG), compressed natural gas (CNG), liquefied natural gas (LNG), renewable natural gas or biomethane, and hydrogen; and pressure regulators, injectors, electronic control units, valves and filters, complete bi-fuel, mono-fuel and dual-fuel LPG and natural gas conversion kits and high-pressure hydrogen components. The company provides Westport’s LNG high pressure direct injection 2.0 fuel system and bi-fuel products; offers turnkey solutions covering all process phases, including prototyping, development, calibration, validation, homologation, vehicle conversion and logistic services, as well as systems for diesel-powered vehicles; and supplies hydrogen fuel system components for light, medium, and heavy-duty applications. It offers its products under the AFS, BRC, Emer, GFI, HPDI, Stako, Prins, Zavoli, OMVL, TA Gas Technology, Vialle, and Valtek brands. The company was formerly known as Westport Innovations Inc. and changed its name to Westport Fuel Systems Inc. in June 2016. Westport Fuel Systems Inc. was incorporated in 1995 and is headquartered in Vancouver, Canada.
About Miller Industries
Miller Industries, Inc., together with its subsidiaries, manufactures and sells towing and recovery equipment. The company offers wreckers that are used to recover and tow disabled vehicles and other equipment; and car carriers, which are specialized flat-bed vehicles with hydraulic tilt mechanisms, which are used to transport new or disabled vehicles and other equipment. It also provides transport trailers for moving various vehicles for auto auctions, car dealerships, leasing companies, and other similar operations. The company markets its products under the Century, Vulcan, Challenger, Holmes, Champion, Chevron, Eagle, Titan, Jige, and Boniface brands. Miller Industries, Inc. sells its products through independent distributors in North America, and Canada, Mexico; and through prime contractors to governmental entities. Miller Industries, Inc. was incorporated in 1990 and is headquartered in Ooltewah, Tennessee.