LGN (LGN) & The Competition Critical Contrast

LGN (NASDAQ:LGN) is one of 191 public companies in the “Construction & Engineering” industry, but how does it compare to its peers? We will compare LGN to related companies based on the strength of its analyst recommendations, dividends, valuation, risk, profitability, earnings and institutional ownership.

Insider and Institutional Ownership

48.3% of shares of all “Construction & Engineering” companies are held by institutional investors. 0.0% of LGN shares are held by insiders. Comparatively, 20.8% of shares of all “Construction & Engineering” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares LGN and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
LGN	$2.55 billion	-$59.78 million	148.42
LGN Competitors	$9.26 billion	$447.80 million	-5,853.41

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

Analyst Recommendations

This is a summary of current ratings and recommmendations for LGN and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LGN	1	1	10	2	2.93
LGN Competitors	819	3375	7187	345	2.60

LGN currently has a consensus price target of $99.50, suggesting a potential upside of 67.59%. As a group, “Construction & Engineering” companies have a potential upside of 31.42%. Given LGN’s stronger consensus rating and higher probable upside, analysts plainly believe LGN is more favorable than its peers.

Profitability

This table compares LGN and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
LGN	-1.20%	4.33%	1.23%
LGN Competitors	-3.96%	10.85%	4.21%

LGN Company Profile

Legence Corp. is a provider of engineering, consulting, installation and maintenance services for mission-critical systems in buildings. The company specializes in designing, fabricating and installing complex HVAC, process piping and other mechanical, electrical and plumbing systems. Legence Corp. is based in SAN JOSE, Calif.