Head to Head Analysis: Solarmax Technology (SMXT) vs. Its Competitors

Solarmax Technology (NASDAQ:SMXT) is one of 188 publicly-traded companies in the “Construction & Engineering” industry, but how does it weigh in compared to its rivals? We will compare Solarmax Technology to similar businesses based on the strength of its analyst recommendations, earnings, profitability, valuation, risk, dividends and institutional ownership.

Institutional & Insider Ownership

48.9% of shares of all “Construction & Engineering” companies are owned by institutional investors. 25.4% of Solarmax Technology shares are owned by insiders. Comparatively, 20.9% of shares of all “Construction & Engineering” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Volatility & Risk

Solarmax Technology has a beta of 0.24, indicating that its stock price is 76% less volatile than the S&P 500. Comparatively, Solarmax Technology’s rivals have a beta of 1.56, indicating that their average stock price is 56% more volatile than the S&P 500.

Profitability

This table compares Solarmax Technology and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Solarmax Technology	-7.92%	N/A	-8.83%
Solarmax Technology Competitors	-4.05%	2.58%	3.81%

Earnings and Valuation

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

	Gross Revenue	Net Income	Price/Earnings Ratio
Solarmax Technology	$90.98 million	-$6.32 million	-2.59
Solarmax Technology Competitors	$9.61 billion	$456.60 million	-5,802.12

Solarmax Technology’s rivals have higher revenue and earnings than Solarmax Technology. Solarmax Technology 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.

Analyst Ratings

This is a breakdown of current ratings and target prices for Solarmax Technology and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solarmax Technology	1	0	0	0	1.00
Solarmax Technology Competitors	842	3453	7325	356	2.60

As a group, “Construction & Engineering” companies have a potential upside of 43.11%. Given Solarmax Technology’s rivals stronger consensus rating and higher possible upside, analysts plainly believe Solarmax Technology has less favorable growth aspects than its rivals.

Summary

Solarmax Technology rivals beat Solarmax Technology on 11 of the 12 factors compared.

About Solarmax Technology

SolarMax Technology, Inc., through its subsidiaries, operates as an integrated solar energy company in the United States and China. The company engages in the sale and installation of photovoltaic and battery backup systems; sale of LED systems; and identifying and procuring solar farm projects for resale to third parties, as well as provision of engineering, procuring, and construction services for solar farm projects. It serves residential, commercial, and government customers. SolarMax Technology, Inc. was incorporated in 2008 and is headquartered in Riverside, California.