Analyzing Omron (OMRNY) & Its Competitors

Omron (OTCMKTS:OMRNY) is one of 377 publicly-traded companies in the “Electronic Equipment, Instruments & Components” industry, but how does it compare to its peers? We will compare Omron to similar businesses based on the strength of its analyst recommendations, dividends, earnings, valuation, risk, institutional ownership and profitability.

Risk & Volatility

Omron has a beta of 1.22, meaning that its stock price is 22% more volatile than the S&P 500. Comparatively, Omron’s peers have a beta of -0.30, meaning that their average stock price is 130% less volatile than the S&P 500.

Earnings & Valuation

This table compares Omron and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Omron	$5.10 billion	$188.01 million	31.48
Omron Competitors	$4.09 billion	$166.60 million	-0.21

Omron has higher revenue and earnings than its peers. Omron 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.

Dividends

Omron pays an annual dividend of $0.47 per share and has a dividend yield of 1.4%. Omron pays out 44.8% of its earnings in the form of a dividend. As a group, “Electronic Equipment, Instruments & Components” companies pay a dividend yield of 1.9% and pay out 81.7% of their earnings in the form of a dividend.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Omron	4.04%	3.68%	2.42%
Omron Competitors	-158.15%	-25.69%	-6.84%

Insider & Institutional Ownership

1.1% of Omron shares are held by institutional investors. Comparatively, 43.3% of shares of all “Electronic Equipment, Instruments & Components” companies are held by institutional investors. 16.4% of shares of all “Electronic Equipment, Instruments & Components” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and price targets for Omron and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Omron	0	2	0	0	2.00
Omron Competitors	2046	7585	10389	653	2.47

As a group, “Electronic Equipment, Instruments & Components” companies have a potential upside of 36.70%. Given Omron’s peers stronger consensus rating and higher probable upside, analysts clearly believe Omron has less favorable growth aspects than its peers.

Summary

Omron beats its peers on 8 of the 15 factors compared.

Omron Company Profile

OMRON Corporation engages in industrial automation, device and module solutions, social systems, and healthcare businesses worldwide. The Industrial Automation Business offers sensors, switches, safety and control components, relays, motion and drives, robotics, energy conservation, power supplies, and automation system products. It also offers environmental mobility, digital devices, food and commodity, logistic and warehouse automation, medical, robotic, panel, vision, software, and traceability related solutions. The Social Systems, Solutions and Service Business provides energy, public transport, traffic safety, network protection, payment, infrastructure monitoring, management service, and DX solutions, as well as offers remote surveillance/monitoring, automation/robotics, software development, engineering/maintenance, and other services. The Healthcare Business provides cardiovascular, respiratory care, pain management, remote patient monitoring, and other solutions. The Device and Module Solutions Business offers relays, switches, connectors, and sensors. OMRON Corporation was founded in 1933 and is headquartered in Kyoto, Japan.