Reviewing Ituran Location and Control (NASDAQ:ITRN) & Resideo Technologies (NYSE:REZI)

Resideo Technologies (NYSE:REZI) and Ituran Location and Control (NASDAQ:ITRN) are both industrials companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Risk and Volatility

Resideo Technologies has a beta of 1.71, indicating that its share price is 71% more volatile than the S&P 500. Comparatively, Ituran Location and Control has a beta of 0.71, indicating that its share price is 29% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings for Resideo Technologies and Ituran Location and Control, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Resideo Technologies	1	2	2	0	2.20
Ituran Location and Control	0	0	2	0	3.00

Resideo Technologies currently has a consensus price target of $34.67, suggesting a potential upside of 1.22%. Ituran Location and Control has a consensus price target of $50.00, suggesting a potential upside of 12.03%. Given Ituran Location and Control’s stronger consensus rating and higher probable upside, analysts plainly believe Ituran Location and Control is more favorable than Resideo Technologies.

Insider & Institutional Ownership

91.7% of Resideo Technologies shares are held by institutional investors. Comparatively, 94.8% of Ituran Location and Control shares are held by institutional investors. 1.5% of Resideo Technologies shares are held by company insiders. Comparatively, 0.0% of Ituran Location and Control shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Resideo Technologies and Ituran Location and Control”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Resideo Technologies	$6.76 billion	0.76	$116.00 million	($4.68)	-7.32
Ituran Location and Control	$336.26 million	N/A	$53.65 million	$2.84	15.71

Resideo Technologies has higher revenue and earnings than Ituran Location and Control. Resideo Technologies is trading at a lower price-to-earnings ratio than Ituran Location and Control, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Resideo Technologies and Ituran Location and Control’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Resideo Technologies	-8.85%	14.96%	4.59%
Ituran Location and Control	16.23%	27.68%	16.11%

Summary

Ituran Location and Control beats Resideo Technologies on 8 of the 12 factors compared between the two stocks.

About Resideo Technologies

Resideo Technologies, Inc. develops, manufactures, and sells comfort, energy management, and safety and security solutions to the commercial and residential end markets in the United States, Europe, and internationally. The company operates in two segments, Products and Solutions, and ADI Global Distribution. The Products and Solutions segment provides temperature and humidity control, thermal and combustion solutions, water and indoor air quality solutions, energy products and solutions, water and air solutions, smoke and carbon monoxide detection home safety and fire suppression, security panels, sensors, peripherals, wire and cable, communications devices, video cameras, other home-related lifestyle convenience solutions, cloud infrastructure, installation and maintenance tools, and related software products under the Honeywell Home brand as well as Resideo, Braukmann, First Alert, and BRK brands. The ADI Global Distribution segment engages in the distribution of security, fire, access control, and video products; and participates in the broader related markets of smart home, power, audio, ProAV, networking, communications, data communications, wire and cable, enterprise connectivity, and structured wiring products. The company sells its products and services through a network of professional contractors, distributors, and original equipment manufacturers, as well as retail and online merchants. Resideo Technologies, Inc. was incorporated in 2018 and is headquartered in Scottsdale, Arizona.

About Ituran Location and Control

Ituran Location and Control Ltd., together with its subsidiaries, provides location based telematics services and machine-to-machine telematics products. It operates through two segments, Telematics Services and Telematics Products. The Telematics services segment offers stolen vehicle recovery and tracking services, which enables to locate, track, and recover stolen vehicles for its subscribers; fleet management services that enable corporate and individual customers to track and manage their vehicles in real time; and locator services that allow customers to protect valuable merchandise and equipment. This segment also delivers on-demand navigation guidance, information, and assistance, including the provision of traffic reports and directions, as well as information on the location of gas stations, car repair shops, post offices, hospitals, and other facilities; and Connected Car, a service platform that includes a back-office application, a telematics device installed in the vehicle, mobile apps for IOS and Android users, and interface using the car infotainment screen, as well as usage based insurance and auto financing services. This segment serves insurance companies and agents, car manufacturers, dealers and importers, cooperative sales channels, and private subscribers. The Telematics Products segment offers Base Site, a radio receiver that includes a processor and a data computation unit to collect and send data to and from transponders, and to control centers; Control Center, a center consisting of software used to collect data from various base sites, conduct location calculations, and transmit location data to various customers and law enforcement agencies; navigation and tracking devices installed in vehicles; and SMART, a portable transmitter installed in vehicles that sends a signal to the base site enabling the location of vehicles, equipment, or an individual. The company was incorporated in 1994 and is headquartered in Azor, Israel.