Loma Negra Compania Industrial Argentina (NYSE:LOMA) and Toll Brothers (NYSE:TOL) Financial Survey

Loma Negra Compania Industrial Argentina (NYSE:LOMA) and Toll Brothers (NYSE:TOL) are both construction companies, but which is the better investment? We will compare the two companies based on the strength of their risk, earnings, institutional ownership, dividends, analyst recommendations, valuation and profitability.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Loma Negra Compania Industrial Argentina and Toll Brothers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Loma Negra Compania Industrial Argentina	0	0	4	0	3.00
Toll Brothers	1	4	7	2	2.71

Loma Negra Compania Industrial Argentina currently has a consensus price target of $14.80, indicating a potential upside of 27.25%. Toll Brothers has a consensus price target of $141.85, indicating a potential upside of 15.26%. Given Loma Negra Compania Industrial Argentina’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Loma Negra Compania Industrial Argentina is more favorable than Toll Brothers.

Profitability

This table compares Loma Negra Compania Industrial Argentina and Toll Brothers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Loma Negra Compania Industrial Argentina	14.52%	12.51%	6.95%
Toll Brothers	12.95%	17.87%	10.12%

Volatility and Risk

Loma Negra Compania Industrial Argentina has a beta of 1.05, indicating that its stock price is 5% more volatile than the S&P 500. Comparatively, Toll Brothers has a beta of 1.36, indicating that its stock price is 36% more volatile than the S&P 500.

Valuation and Earnings

This table compares Loma Negra Compania Industrial Argentina and Toll Brothers”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Loma Negra Compania Industrial Argentina	$767.70 million	1.77	$169.19 million	$0.84	13.85
Toll Brothers	$10.85 billion	1.11	$1.57 billion	$13.48	9.13

Toll Brothers has higher revenue and earnings than Loma Negra Compania Industrial Argentina. Toll Brothers is trading at a lower price-to-earnings ratio than Loma Negra Compania Industrial Argentina, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

19.3% of Loma Negra Compania Industrial Argentina shares are held by institutional investors. Comparatively, 91.8% of Toll Brothers shares are held by institutional investors. 1.5% of Toll Brothers shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Toll Brothers beats Loma Negra Compania Industrial Argentina on 10 of the 15 factors compared between the two stocks.

About Loma Negra Compania Industrial Argentina

Loma Negra Compañía Industrial Argentina Sociedad Anónima, together with its subsidiaries, manufactures and sells cement and its derivatives in Argentina. The company operates through Cement, Masonry Cement and Lime; Concrete; Railroad; Aggregates; and Others segments. It offers masonry cement, aggregates, ready-mix concrete, concrete, and lime to wholesale distributors, concrete producers, industrial customers, and others for use in the construction. The company also provides rail transportation services; and treats and recycles industrial waste for use as fuel and raw material. It markets its products under the Loma Negra, San Martín, Plasticor, Cacique Plus, Cacique Max, Loma Negra Plus, and Lomax brands. The company was founded in 1926 and is based in Buenos Aires, Argentina. Loma Negra Compañía Industrial Argentina Sociedad Anónima is a subsidiary of Intercement Trading E Inversiones Argentina Sociedad Limitada.

About Toll Brothers

Toll Brothers, Inc., together with its subsidiaries, designs, builds, markets, sells, and arranges finance for a range of detached and attached homes in luxury residential communities in the United States. It designs, builds, markets, and sells condominiums through Toll Brothers City Living. The company also develops a range of single-story living and first-floor primary bedroom suite home designs, as well as communities with recreational amenities, such as golf courses, marinas, pool complexes, country clubs, and fitness and recreation centers; and develops, operates, and rents apartments. In addition, it provides various interior fit-out options, such as flooring, wall tile, plumbing, cabinets, fixtures, appliances, lighting, and home-automation and security technologies. Further, the company owns and operates architectural, engineering, mortgage, title, land development, insurance, smart home technology, landscaping, lumber distribution, house component assembly, and component manufacturing operations. It serves luxury first-time, move-up, empty-nester, active-adult, and second-home buyers. Toll Brothers, Inc. was founded in 1967 and is headquartered in Fort Washington, Pennsylvania.