Comparing Outokumpu Oyj (OTCMKTS:OUTKY) & BAE Systems (OTCMKTS:BAESY)

BAE Systems (OTCMKTS:BAESY) and Outokumpu Oyj (OTCMKTS:OUTKY) are both aerospace companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, risk, institutional ownership, valuation, dividends and analyst recommendations.

Risk & Volatility

BAE Systems has a beta of 0.5, meaning that its stock price is 50% less volatile than the S&P 500. Comparatively, Outokumpu Oyj has a beta of 0.77, meaning that its stock price is 23% less volatile than the S&P 500.

Earnings and Valuation

This table compares BAE Systems and Outokumpu Oyj”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BAE Systems	$24.98 billion	1.85	$2.31 billion	N/A	N/A
Outokumpu Oyj	$7.53 billion	0.20	-$114.72 million	($0.28)	-6.00

BAE Systems has higher revenue and earnings than Outokumpu Oyj.

Analyst Ratings

This is a breakdown of recent ratings for BAE Systems and Outokumpu Oyj, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BAE Systems	2	0	1	0	1.67
Outokumpu Oyj	0	0	0	0	0.00

Insider and Institutional Ownership

0.2% of BAE Systems shares are held by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares BAE Systems and Outokumpu Oyj’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BAE Systems	N/A	N/A	N/A
Outokumpu Oyj	-4.10%	-6.65%	-4.16%

Dividends

BAE Systems pays an annual dividend of $1.26 per share and has a dividend yield of 2.1%. Outokumpu Oyj pays an annual dividend of $0.05 per share and has a dividend yield of 3.0%. Outokumpu Oyj pays out -17.9% of its earnings in the form of a dividend.

Summary

BAE Systems beats Outokumpu Oyj on 9 of the 12 factors compared between the two stocks.

About BAE Systems

BAE Systems plc provides defense, aerospace, and security solutions worldwide. The company operates through five segments: Electronic Systems, Platforms & Services, Air, Maritime, and Cyber & Intelligence. The Electronic Systems segment offers electronic warfare systems, navigation systems, electro-optical sensors, military and commercial digital engine and flight controls, precision guidance and seeker solutions, military communication systems and data links, persistent surveillance capabilities, space electronics, and electric drive propulsion systems. The Cyber & Intelligence segment provides solutions to modernize, maintain, and test cyber-harden aircraft, radars, missile systems, and mission applications that detect and deter threats to national security; systems engineering, integration, and sustainment services for critical weapons systems, C5ISR, and cyber security; and solutions and services to intelligence and federal/civilian agencies. It also offers data intelligence solutions to protect nations, businesses, and citizens. The Platforms & Services segment manufactures, and upgrades combat vehicles, weapons, and munitions, as well as provides naval ship repair services and the management of government-owned ammunition plants. The Air segment develops future combat air systems and falconworks. The Maritime segment provides maritime and land activities, including submarine, ship build, and support programmes. BAE Systems plc was founded in 1970 and is headquartered in Camberley, the United Kingdom.

About Outokumpu Oyj

Outokumpu Oyj produces and sells various stainless steel products in Finland, other European countries, North America, the Asia-Pacific, and internationally. The company operates through three segments: Europe, Americas, and Ferrochrome. It offers cold rolled coils, strips, and sheets; hot rolled coils, strips, and plates; quarto plates; precision strips; and specialized components, such as welded stainless-steel I-beams, H-beams, hollow-section tubes, bent profiles, structural sections, hardened and customized press plates, suction roll shells, and blancs and disks. The company also provides stainless steel powder which includes Supra 316L, Dura 17-4PH, Ultra 904L, Therma 253MA, Dura 4116, and Ni-free austenitic stainless steel powder; and nickel-based alloys. Its products are used in various applications, including commercial kitchen, cooking, food industry, and home appliances; automotive and transportation; building and infrastructure; energy; marine; and heavy industries. The company was founded in 1910 and is headquartered in Helsinki, Finland.