Analyzing MSA Safety Incorporporated (NYSE:MSA) and Capstone Cos. (OTCMKTS:CAPC)

Capstone Cos. (OTCMKTS:CAPC) and MSA Safety Incorporporated (NYSE:MSA) are both industrials companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, earnings, valuation, profitability, dividends, risk and analyst recommendations.

Profitability

This table compares Capstone Cos. and MSA Safety Incorporporated’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Capstone Cos.	N/A	N/A	-23.13%
MSA Safety Incorporporated	15.15%	26.03%	13.16%

Institutional & Insider Ownership

92.5% of MSA Safety Incorporporated shares are held by institutional investors. 40.0% of Capstone Cos. shares are held by insiders. Comparatively, 0.7% of MSA Safety Incorporporated shares are held 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.

Earnings and Valuation

This table compares Capstone Cos. and MSA Safety Incorporporated”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Capstone Cos.	$140,000.00	17.66	-$960,000.00	($0.01)	-4.98
MSA Safety Incorporporated	$1.83 billion	3.72	$284.97 million	$7.01	24.77

MSA Safety Incorporporated has higher revenue and earnings than Capstone Cos.. Capstone Cos. is trading at a lower price-to-earnings ratio than MSA Safety Incorporporated, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Capstone Cos. and MSA Safety Incorporporated, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Capstone Cos.	0	0	0	0	0.00
MSA Safety Incorporporated	0	3	2	0	2.40

MSA Safety Incorporporated has a consensus price target of $189.20, indicating a potential upside of 8.97%. Given MSA Safety Incorporporated’s stronger consensus rating and higher possible upside, analysts clearly believe MSA Safety Incorporporated is more favorable than Capstone Cos..

Volatility & Risk

Capstone Cos. has a beta of -0.32, indicating that its share price is 132% less volatile than the S&P 500. Comparatively, MSA Safety Incorporporated has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.

Summary

MSA Safety Incorporporated beats Capstone Cos. on 12 of the 14 factors compared between the two stocks.

About Capstone Cos.

Capstone Companies, Inc., through its subsidiaries, operates as a designer, manufacturer, and marketer of consumer products to simplify daily living through technology. The company offers Connected Chef, a purpose-built kitchen appliance tablet with an integrated platform for cooking accessories, such as cutting board, as well as Smart Mirrors. It sells its products through sales agents, as well as directly to home-goods chain retailers. The company was formerly known as CHDT Corporation and changed its name to Capstone Companies, Inc. in June 2012. Capstone Companies, Inc. was incorporated in 1996 and is headquartered in Deerfield Beach, Florida.

About MSA Safety Incorporporated

MSA Safety Incorporated develops, manufactures, and supplies safety products and technology solutions that protect people and facility infrastructures in the fire service, energy, utility, construction, and industrial manufacturing applications, as well as heating, ventilation, air conditioning, and refrigeration industries worldwide. The company's core product offerings include fixed gas and flame detection systems, such as gas detection monitoring systems, and flame detectors and open-path infrared gas detectors; breathing apparatus products, including self-contained breathing apparatus; hand-held portable gas detection instruments to detect the presence or absence of various gases in the air; industrial head protection products; firefighter helmets and protective apparel; and fall protection equipment, such as confined space equipment, harnesses, lanyards, and self-retracting lifelines, as well as engineered systems. In addition, the company offers air-purifying respirators, eye and face protection products, ballistic helmets, and gas masks. It serves distributors and end-users through indirect and direct sales channels. The company offers its products under the V-Gard, Cairns, and Gallet brand names. MSA Safety Incorporated was founded in 1914 and is based in Cranberry Township, Pennsylvania.