Head-To-Head Comparison: Spirax Group (OTCMKTS:SPXSY) vs. Graham (NYSE:GHM)

Spirax Group (OTCMKTS:SPXSY) and Graham (NYSE:GHM) are both industrials companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, valuation, risk, earnings, dividends, analyst recommendations and institutional ownership.

Analyst Recommendations

This is a summary of current ratings and target prices for Spirax Group and Graham, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Spirax Group	0	0	0	1	4.00
Graham	0	2	3	1	2.83

Graham has a consensus target price of $81.67, indicating a potential downside of 17.01%. Given Graham’s higher probable upside, analysts clearly believe Graham is more favorable than Spirax Group.

Profitability

This table compares Spirax Group and Graham’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Spirax Group	N/A	N/A	N/A
Graham	6.28%	13.26%	6.07%

Risk and Volatility

Spirax Group has a beta of 1.09, suggesting that its stock price is 9% more volatile than the S&P 500. Comparatively, Graham has a beta of 1.05, suggesting that its stock price is 5% more volatile than the S&P 500.

Insider & Institutional Ownership

0.4% of Spirax Group shares are owned by institutional investors. Comparatively, 69.5% of Graham shares are owned by institutional investors. 6.0% of Graham shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Spirax Group and Graham”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Spirax Group	$2.25 billion	3.12	$215.48 million	N/A	N/A
Graham	$209.90 million	5.47	$12.23 million	$1.35	72.89

Spirax Group has higher revenue and earnings than Graham.

Summary

Graham beats Spirax Group on 8 of the 12 factors compared between the two stocks.

About Spirax Group

Spirax-Sarco Engineering plc provides engineered solutions it operates through three segments: Steam Thermal Solutions; Electric Thermal Solutions; and Watson-Marlow Fluid Technology Solutions. The company offers industrial and commercial steam systems, including condensate management, controls, and thermal energy management products and solutions for heating, curing, cooking, drying, cleaning, sterilizing, space heating, humidifying, vacuum packing, and producing hot water; electrical process heating and temperature management solutions, such as industrial heaters and systems, heat tracing, and various component technologies for industrial processes; and peristaltic and niche pumps and associated fluid path technologies, including tubing, and specialty filling systems and products for single-use applications. It serves pharmaceutical and biotechnology, food, beverage, oil, gas, chemical, power generation, healthcare, water and wastewater, buildings, mining and precious metal processing, semiconductor, and transport sectors, as well as original equipment manufacturers. The company sells its products directly, as well as through distributors. It operates in Europe, the Middle East, and Africa; the Asia Pacific; and the Americas. The company was founded in 1888 and is headquartered in Cheltenham, the United Kingdom.

About Graham

Graham Corporation, together with its subsidiaries, designs and manufactures fluid, power, heat transfer, and vacuum equipment for chemical and petrochemical processing, defense, space, petroleum refining, cryogenic, energy, and other industries. It offers power plant systems, including ejectors and surface condensers; torpedo ejection, propulsion, and power systems, such as turbines, alternators, regulators, pumps, and blowers; and thermal management systems comprising pumps, blowers, and drive electronics for defense sector. The company also provides rocket propulsion systems consisting of turbopumps and fuel pumps; cooling systems, which include pumps, compressors, fans, and blowers; and life support systems that comprise fans, pumps, and blowers for space industry. In addition, it offers heat transfer and vacuum systems, including ejectors, process and surface condensers, liquid ring pumps, heat exchangers, and nozzles; power generation systems, such as turbines, generators, compressors, and pumps; and thermal management systems comprising pumps, blowers, and electronics for energy sector. Further, the company offers heat transfer and vacuum systems consisting of ejectors, process and surface condensers, liquid ring pumps, heat exchangers, and nozzles for chemical and petrochemical processing industry. The company also services and sells spare parts for its equipment. It sells its products directly in the United States, the Middle East, Canada, Asia, South America, and internationally. Graham Corporation was founded in 1936 and is headquartered in Batavia, New York.