Critical Comparison: Satellogic (NASDAQ:SATL) and Redwire (NYSE:RDW)

Redwire (NYSE:RDW) and Satellogic (NASDAQ:SATL) are both industrials companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, dividends, risk, institutional ownership, profitability, valuation and earnings.

Valuation & Earnings

This table compares Redwire and Satellogic”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Redwire	$426.27 million	6.23	-$226.55 million	($1.46)	-7.28
Satellogic	$31.91 million	23.08	-$4.78 million	($0.82)	-5.84

Satellogic has lower revenue, but higher earnings than Redwire. Redwire is trading at a lower price-to-earnings ratio than Satellogic, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Redwire and Satellogic’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Redwire	-57.26%	-11.02%	-8.17%
Satellogic	-325.65%	303.84%	6.01%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Redwire and Satellogic, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Redwire	2	3	5	1	2.45
Satellogic	1	1	5	1	2.75

Redwire currently has a consensus price target of $14.69, indicating a potential upside of 38.24%. Satellogic has a consensus price target of $8.90, indicating a potential upside of 85.80%. Given Satellogic’s stronger consensus rating and higher possible upside, analysts clearly believe Satellogic is more favorable than Redwire.

Risk and Volatility

Redwire has a beta of 3.08, meaning that its share price is 208% more volatile than the S&P 500. Comparatively, Satellogic has a beta of 1.36, meaning that its share price is 36% more volatile than the S&P 500.

Institutional and Insider Ownership

8.1% of Redwire shares are owned by institutional investors. Comparatively, 17.6% of Satellogic shares are owned by institutional investors. 0.8% of Redwire shares are owned by insiders. Comparatively, 38.8% of Satellogic shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Satellogic beats Redwire on 10 of the 13 factors compared between the two stocks.

About Redwire

Redwire Corporation provides critical space solutions and space infrastructure for government and commercial customers in the United States, Europe, and internationally. The company provides avionics and sensors including star trackers, sun sensors, critical for navigation, and control of spacecraft; camera systems; solar array solutions for spacecraft spanning the spectrum of size, power needs, and orbital location; and strain composite booms, coilable booms, truss structures, telescope baffles, and deployable booms to position sensors or solar arrays away from the spacecraft. It offers software suite that enables digital engineering and generation of high-fidelity, interactive modeling and simulations of individual components, entire spacecraft, and full constellations in a cloud-based environment. In addition, the company microgravity payloads, radio frequency systems, antennas, star trackers, platforms, and in-space manufacturing and biotech facilities. Redwire Corporation is headquartered in Jacksonville, Florida.

About Satellogic

Satellogic Inc. operates as an integrated geospatial company in the Asia Pacific, North America, and internationally. It engages in tasking satellites with monitoring assets and keeping up with their changing reality for government and commercial customers; control satellites on top of specific areas of interest for governments; and sale and support satellites. The company was founded in 2010 and is headquartered in Montevideo, Uruguay.