Analyzing Babcock International Group (OTCMKTS:BCKIY) and Metallurgical Corp. of China (OTCMKTS:MLLUY)

Babcock International Group (OTCMKTS:BCKIY) and Metallurgical Corp. of China (OTCMKTS:MLLUY) are both construction companies, but which is the better business? We will contrast the two companies based on the strength of their valuation, earnings, analyst recommendations, institutional ownership, dividends, profitability and risk.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Babcock International Group and Metallurgical Corp. of China, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Babcock International Group	0	0	0	1	4.00
Metallurgical Corp. of China	0	0	0	0	0.00

Dividends

Babcock International Group pays an annual dividend of $0.04 per share and has a dividend yield of 0.3%. Metallurgical Corp. of China pays an annual dividend of $0.14 per share and has a dividend yield of 4.0%. Metallurgical Corp. of China pays out 19.2% of its earnings in the form of a dividend.

Valuation and Earnings

This table compares Babcock International Group and Metallurgical Corp. of China”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Babcock International Group	$5.52 billion	1.33	$208.29 million	N/A	N/A
Metallurgical Corp. of China	$76.79 billion	N/A	$938.36 million	$0.73	4.78

Metallurgical Corp. of China has higher revenue and earnings than Babcock International Group.

Volatility & Risk

Babcock International Group has a beta of 1.47, meaning that its share price is 47% more volatile than the S&P 500. Comparatively, Metallurgical Corp. of China has a beta of 0.7, meaning that its share price is 30% less volatile than the S&P 500.

Profitability

This table compares Babcock International Group and Metallurgical Corp. of China’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Babcock International Group	N/A	N/A	N/A
Metallurgical Corp. of China	0.95%	3.13%	0.79%

Summary

Metallurgical Corp. of China beats Babcock International Group on 6 of the 10 factors compared between the two stocks.

About Babcock International Group

Babcock International Group PLC, together with its subsidiaries, provides value-add services for aerospace, defense, and security in the United Kingdom, rest of Europe, Africa, North America, Australasia, and internationally. The company operates through four segments: Marine, Nuclear, Land, and Aviation. It designs, procures, operates, and manages critical utility and process equipment; offers asset management, defense and maritime training, information and intelligence, equipment and system, and facilities and infrastructure services, as well as naval platforms; and designs, manufactures, and provides through-life support for mechanical and electrical systems and equipment. The company also offers naval architecture, engineering, and project management services; submarines and complex engineering services in support of various decommissioning programs and projects, training and operation support, new build program management, and design and installation; critical vehicle fleet management, and equipment support and training services for military and civil customers; and designs, assesses, manufactures, installs, maintains, and decommissions vehicles for police, fire and ambulance, civil service, military, and other security-focused organizations. In addition, it provides plain line track renewal services; and engineering services for track projects, signaling, telecommunications, and on-track plants. Further, the company offers critical engineering services to defense and civil customers, including pilot training, equipment support, and airbase management, as well as operates aviation fleets that provide delivering emergency services. The company was founded in 1891 and is headquartered in London, the United Kingdom.

About Metallurgical Corp. of China

Metallurgical Corporation of China Ltd., together with its subsidiaries, engages in the engineering contracting, property development, equipment manufacture, and resource development businesses in China and internationally. The company’s Engineering Contracting segment offers engineering, construction, and other related contracting services for metallurgical and non-metallurgical projects. Its Property Development segment develops and sells residential and commercial properties, and housing properties; and develops land. The company’s Equipment Manufacturing segment engages in the development and production of metallurgical equipment, steel structures, and other metal products. Its Resource Development segment is involved in the development, mining, and processing of mineral resources; and the production of nonferrous metals and polysilicon. The company was founded in 2008 and is based in Beijing, the People’s Republic of China.