Comparing Amentum (NYSE:AMTM) and Western Union (NYSE:WU)

Amentum (NYSE:AMTM) and Western Union (NYSE:WU) are both mid-cap construction companies, but which is the better stock? We will contrast the two companies based on the strength of their risk, dividends, valuation, institutional ownership, profitability, earnings and analyst recommendations.

Profitability

This table compares Amentum and Western Union’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amentum	N/A	N/A	N/A
Western Union	22.19%	96.90%	7.43%

Earnings & Valuation

This table compares Amentum and Western Union”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amentum	$11.26 billion	0.45	-$82.00 million	N/A	N/A
Western Union	$4.14 billion	0.77	$934.20 million	$2.68	3.61

Western Union has lower revenue, but higher earnings than Amentum.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Amentum and Western Union, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amentum	1	3	4	0	2.38
Western Union	4	6	0	0	1.60

Amentum currently has a consensus target price of $25.38, indicating a potential upside of 22.55%. Western Union has a consensus target price of $10.78, indicating a potential upside of 11.40%. Given Amentum’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Amentum is more favorable than Western Union.

Insider and Institutional Ownership

39.9% of Amentum shares are owned by institutional investors. Comparatively, 91.8% of Western Union shares are owned by institutional investors. 18.7% of Amentum shares are owned by insiders. Comparatively, 1.6% of Western Union shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Western Union beats Amentum on 6 of the 11 factors compared between the two stocks.

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 Western Union

The Western Union Company provides money movement and payment services worldwide. The company operates through Consumer Money Transfer and Consumer Services segments. The Consumer Money Transfer segment facilitates money transfers for international cross-border and intra-country transfers, primarily through a network of retail agent locations, as well as through websites and mobile devices. The Consumer Services segments offers bill payment services, which facilitate payments for consumers, businesses, and other organizations, as well as money order services, retail foreign exchange services, prepaid cards, lending partnerships, and digital wallets. The company was founded in 1851 and is headquartered in Denver, Colorado.