Reviewing Fuji Electric (OTCMKTS:FELTY) and Daktronics (NASDAQ:DAKT)

Daktronics (NASDAQ:DAKT) and Fuji Electric (OTCMKTS:FELTY) are both manufacturing companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, valuation, risk, earnings, dividends, profitability and analyst recommendations.

Profitability

This table compares Daktronics and Fuji Electric’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Daktronics	3.43%	16.55%	8.82%
Fuji Electric	N/A	N/A	N/A

Institutional and Insider Ownership

61.7% of Daktronics shares are owned by institutional investors. 5.3% of Daktronics shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Daktronics and Fuji Electric, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Daktronics	0	2	0	0	2.00
Fuji Electric	1	1	0	0	1.50

Earnings and Valuation

This table compares Daktronics and Fuji Electric”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Daktronics	$802.65 million	1.30	-$10.12 million	$0.55	39.33
Fuji Electric	N/A	N/A	N/A	N/A	N/A

Fuji Electric has lower revenue, but higher earnings than Daktronics.

Dividends

Daktronics pays an annual dividend of $0.20 per share and has a dividend yield of 0.9%. Fuji Electric pays an annual dividend of $0.20 per share and has a dividend yield of 1.1%. Daktronics pays out 36.4% of its earnings in the form of a dividend.

Summary

Daktronics beats Fuji Electric on 7 of the 9 factors compared between the two stocks.

About Daktronics

Daktronics, Inc. designs, manufactures, and sells electronic scoreboards, programmable display systems and large screen video displays for sporting, commercial, and transportation applications in the United States and internationally. It operates through Commercial, Live Events, High School Park and Recreation, Transportation, and International segments. The company also offers video display and walls; scoreboards and timing systems; LED message displays and sings; intelligent transportation systems dynamic message signs; mass transit display; sound systems; and digital billboards and street furniture, and digit and price displays. In addition, it provides indoor dynamic messaging systems and liquid crystal display signs; and software and controllers, which includes Venus, a control suite software to control the creation of messages and graphic sequences for uploading to displays. The company sells its products through direct sales and resellers. Daktronics, Inc. was founded in 1968 and is headquartered in Brookings, South Dakota.

About Fuji Electric

Fuji Electric Co., Ltd., together with its subsidiaries, develops power semiconductors and electronics solutions in Japan and internationally. It operates through Power Electronics Energy, Power Electronics Industry, Semiconductor, Power Generation, Food and Beverages Distribution, Others segments. The company also offers drivers and inverters including AC drivers, motors, and servo systems; semiconductors and photoconductors; power supply products, which includes uninterruptible power systems, solar inverters, data centers, rectifiers, and formers; sensors and measurements, such as instrumentation and radiation monitoring systems; and factory automation systems. In addition, it provides distribution and controls including LV and MV distributions, motor controls, and energy control equipment; transmission and distribution comprising oil-immersed transformers, shunt reactors, cast resin transformers, gas insulated switchgears, MV and LV switchgears and control centers, vacuum circuit breakers, and pure water vaporization cooling silicon rectifiers; and social infrastructure, which includes tunnel ventilation systems, marine environment protection systems, and electrical equipment for railcars. Further, the company offers thermal and geothermal power generation, nuclear power, and fuel cell; energy management including power system simulator; can and PET bottle beverage vending machine, coin mechanism, and bill validators; service and after sales services; and equipment upgrades. Fuji Electric Co., Ltd. was formerly known as Fuji Electric Holdings Co., Ltd. and changed its name to Fuji Electric Co., Ltd. in 2011. The company was incorporated in 1923 and is headquartered in Tokyo, Japan.