Financial Review: THT Heat Transfer Technology (OTCMKTS:THTI) and Regal Rexnord (NYSE:RRX)

THT Heat Transfer Technology (OTCMKTS:THTI) and Regal Rexnord (NYSE:RRX) are both industrials companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, institutional ownership, dividends, risk, analyst recommendations, earnings and valuation.

Analyst Recommendations

This is a summary of current ratings and price targets for THT Heat Transfer Technology and Regal Rexnord, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
THT Heat Transfer Technology	0	0	0	0	0.00
Regal Rexnord	0	3	7	0	2.70

Regal Rexnord has a consensus price target of $180.25, indicating a potential upside of 17.19%. Given Regal Rexnord’s stronger consensus rating and higher possible upside, analysts clearly believe Regal Rexnord is more favorable than THT Heat Transfer Technology.

Profitability

This table compares THT Heat Transfer Technology and Regal Rexnord’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
THT Heat Transfer Technology	N/A	N/A	N/A
Regal Rexnord	4.38%	9.64%	4.52%

Institutional & Insider Ownership

99.7% of Regal Rexnord shares are held by institutional investors. 22.4% of THT Heat Transfer Technology shares are held by company insiders. Comparatively, 0.8% of Regal Rexnord shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares THT Heat Transfer Technology and Regal Rexnord”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
THT Heat Transfer Technology	N/A	N/A	N/A	N/A	N/A
Regal Rexnord	$6.03 billion	1.69	$196.20 million	$3.87	39.75

Regal Rexnord has higher revenue and earnings than THT Heat Transfer Technology.

Summary

Regal Rexnord beats THT Heat Transfer Technology on 8 of the 9 factors compared between the two stocks.

About THT Heat Transfer Technology

THT Heat Transfer Technology, Inc. engages in the manufacture and trading of plate heat exchangers and related products. It offers plate heat exchangers, heat exchanger units, air-cooled heat exchangers, and shell-and-tube heat exchangers. The company was founded on August 7, 2006 and is headquartered in Siping, China.

About Regal Rexnord

Regal Rexnord Corporation manufactures and sells industrial powertrain solutions, power transmission components, electric motors and electronic controls, air moving products, and specialty electrical components and systems worldwide. The Industrial Powertrain Solutions segment provides mounted and unmounted bearings, couplings, mechanical power transmission drives and components, gearboxes, gear motors, clutches, brakes, special, and industrial powertrain components and solutions for food and beverage, bulk material handling, eCommerce/warehouse distribution, energy, mining, marine, agricultural machinery, turf and garden, and general industrial markets. The Power Efficiency Solutions segment offers AC and DC motors, electronic variable speed controls, and blowers for residential, commercial HVAC, water heaters, commercial refrigeration, commercial building ventilation, pool and spa, irrigation, agriculture, conveying, and general commercial equipment markets. The Automation and Motion Control segment provides conveyor products, conveying automation subsystems, aerospace components, rotary precision motion solutions, high-efficiency miniature motors, motion controls, automation transfer switches, and switchgear for industrial applications and automation systems for material handling, aerospace and defense, factory automation, data centers, medical device, packaging, printing, semiconductor, robotic, industrial power tool, mobile off-highway, food and beverage processing, and other applications. The Industrial Systems segment offers integral motors, alternators, and aftermarket parts and kits for agriculture, marine, mining, oil and gas, food and beverage, data centers, prime and standby power, and general industrial equipment markets. It sells its products directly to original equipment manufacturers, distributors, and end-users. The company was formerly known as Regal Beloit Corporation. The company was founded in 1955 and is based in Milwaukee, Wisconsin.