Mayville Engineering (NYSE:MEC) vs. Fanuc (OTCMKTS:FANUY) Head to Head Analysis

Fanuc (OTCMKTS:FANUY) and Mayville Engineering (NYSE:MEC) are both industrials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their dividends, risk, analyst recommendations, earnings, profitability, institutional ownership and valuation.

Analyst Ratings

This is a breakdown of recent recommendations for Fanuc and Mayville Engineering, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fanuc	0	2	0	1	2.67
Mayville Engineering	1	1	4	0	2.50

Mayville Engineering has a consensus target price of $35.75, indicating a potential upside of 108.82%. Given Mayville Engineering’s higher possible upside, analysts plainly believe Mayville Engineering is more favorable than Fanuc.

Volatility and Risk

Fanuc has a beta of 1.04, meaning that its share price is 4% more volatile than the S&P 500. Comparatively, Mayville Engineering has a beta of 1.26, meaning that its share price is 26% more volatile than the S&P 500.

Earnings and Valuation

This table compares Fanuc and Mayville Engineering”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fanuc	$5.70 billion	6.39	$1.10 billion	$0.62	29.90
Mayville Engineering	$546.49 million	0.80	-$8.11 million	($0.84)	-20.38

Fanuc has higher revenue and earnings than Mayville Engineering. Mayville Engineering is trading at a lower price-to-earnings ratio than Fanuc, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Fanuc and Mayville Engineering’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fanuc	20.11%	9.60%	8.65%
Mayville Engineering	-2.95%	-6.63%	-2.99%

Insider & Institutional Ownership

1.5% of Fanuc shares are held by institutional investors. Comparatively, 45.4% of Mayville Engineering shares are held by institutional investors. 5.6% of Mayville Engineering shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Fanuc beats Mayville Engineering on 10 of the 15 factors compared between the two stocks.

About Fanuc

FANUC Corporation provides factory automation products in Japan, the Americas, Europe, China, the rest of Asia, and internationally. The company offers CNC series products, servo motors, lasers, robots, compact machining centers, electric injection molding machines, wire electrical discharge machines, and ultra-precision machines. It also provides FANUC intelligent edge link and drive system, an open platform for the manufacturing industry. FANUC Corporation was incorporated in 1950 and is headquartered in Yamanashi, Japan.

About Mayville Engineering

Mayville Engineering Company, Inc., together with its subsidiaries, engages in the production, design, prototyping and tooling, fabrication, aluminum extrusion, coating, and assembling of aftermarket components in the United States. It also supplies engineered components to original equipment manufacturers. The company serves heavy and medium duty commercial vehicles, construction and access equipment, powersports, agriculture, military, and other end markets. Mayville Engineering Company, Inc. was founded in 1945 and is headquartered in Milwaukee, Wisconsin.