Analyzing Ralliant (NYSE:RAL) and Acorn Energy (NASDAQ:ACFN)

Acorn Energy (NASDAQ:ACFN) and Ralliant (NYSE:RAL) are both technology companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, profitability, dividends, risk, analyst recommendations, earnings and institutional ownership.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Acorn Energy and Ralliant, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Acorn Energy	0	1	0	0	2.00
Ralliant	1	4	7	0	2.50

Ralliant has a consensus target price of $77.20, indicating a potential upside of 7.65%. Given Ralliant’s stronger consensus rating and higher probable upside, analysts plainly believe Ralliant is more favorable than Acorn Energy.

Profitability

This table compares Acorn Energy and Ralliant’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Acorn Energy	16.12%	10.06%	6.32%
Ralliant	-56.38%	14.97%	6.99%

Volatility & Risk

Acorn Energy has a beta of 0.31, indicating that its share price is 69% less volatile than the S&P 500. Comparatively, Ralliant has a beta of 1.39, indicating that its share price is 39% more volatile than the S&P 500.

Earnings & Valuation

This table compares Acorn Energy and Ralliant”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Acorn Energy	$11.48 million	4.16	$2.51 million	$0.61	31.16
Ralliant	$2.07 billion	3.84	-$1.22 billion	($10.85)	-6.61

Acorn Energy has higher earnings, but lower revenue than Ralliant. Ralliant is trading at a lower price-to-earnings ratio than Acorn Energy, indicating that it is currently the more affordable of the two stocks.

Summary

Ralliant beats Acorn Energy on 7 of the 12 factors compared between the two stocks.

About Acorn Energy

Acorn Energy, Inc., through its subsidiaries, develops and markets wireless remote monitoring and control systems for various markets in the United States and internationally. It operates through two segments, Power Generation (PG) Monitoring and Cathodic Protection (CP) Monitoring. The PG segment provides wireless remote monitoring and control systems, and services for critical assets, which include stand-by power generators, compressors, pumps, pumpjacks, light towers, turbines, and other industrial equipment; and Internet of Things applications. The CP segment offers remote monitoring of cathodic protection systems on gas pipelines for gas utilities and pipeline companies. The company was incorporated in 1986 and is based in Wilmington, Delaware.

About Ralliant

Ralliant Corporation is a provider of precision technologies which specializes in designing, developing, manufacturing and servicing precision instruments and engineered products. Ralliant Corporation is based in RALEIGH, N.C.