Analyzing Amentum (NYSE:AMTM) & FTI Consulting (NYSE:FCN)

Amentum (NYSE:AMTM) and FTI Consulting (NYSE:FCN) are both mid-cap industrials companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, earnings, dividends, profitability, valuation, analyst recommendations and institutional ownership.

Earnings & Valuation

This table compares Amentum and FTI Consulting”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amentum	$14.39 billion	0.33	$66.00 million	$0.83	23.53
FTI Consulting	$3.79 billion	1.08	$270.87 million	$8.27	17.94

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

Analyst Ratings

This is a summary of current recommendations for Amentum and FTI Consulting, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amentum	2	6	5	0	2.23
FTI Consulting	1	1	0	0	1.50

Amentum presently has a consensus price target of $29.00, indicating a potential upside of 48.49%. FTI Consulting has a consensus price target of $174.50, indicating a potential upside of 17.58%. Given Amentum’s stronger consensus rating and higher possible upside, equities analysts plainly believe Amentum is more favorable than FTI Consulting.

Risk and Volatility

Amentum has a beta of 0.31, indicating that its stock price is 69% less volatile than the S&P 500. Comparatively, FTI Consulting has a beta of -0.06, indicating that its stock price is 106% less volatile than the S&P 500.

Profitability

This table compares Amentum and FTI Consulting’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amentum	1.44%	12.19%	5.08%
FTI Consulting	6.44%	15.91%	7.35%

Insider and Institutional Ownership

39.9% of Amentum shares are held by institutional investors. Comparatively, 99.4% of FTI Consulting shares are held by institutional investors. 19.4% of Amentum shares are held by company insiders. Comparatively, 1.8% of FTI Consulting shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

About Amentum

Amentum Holdings, Inc. provides engineering and technology solutions to address challenges in science, security, and sustainability. It serves various markets, such as energy and environment, space, intelligence, defense, civilian, commercial, and international markets. The company was incorporated in 2010 and is headquatered in Chantilly, Virginia.

About FTI Consulting

FTI Consulting, Inc. provides business advisory services to manage change, mitigate risk, and resolve disputes worldwide. The company operates through Corporate Finance & Restructuring, Forensic and Litigation Consulting, Economic Consulting, Technology, and Strategic Communications segments. The Corporate Finance & Restructuring segment provides business transformation and strategy, transactions, and turnaround and restructuring services. The Forensic and Litigation Consulting segment offers construction and environmental solutions, data and analytics, disputes, health solutions, and risk and investigation services. The Economic Consulting segment provides antitrust and competition economics, financial economics, and international arbitration services. The Technology segment offers corporate legal department consulting; e-discovery and expertise; and information governance, privacy, and security services. The Strategic Communications segment provides corporate reputation, financial communications, and public affairs services. It serves aerospace and defense, airlines and aviation, blockchain and digital assets, chemicals, construction and environmental solutions, energy, financial services, food and agriculture, healthcare and life sciences, hospitality, gaming and leisure, automotive and industrial, insurance, mining, private equity, power and renewable, public sector and government contracts, real estate, retail and consumer products, telecom, media and technology, and transportation and logistics sectors. FTI Consulting, Inc. was incorporated in 1982 and is headquartered in Washington, the District of Columbia.