Head-To-Head Contrast: ESCO Technologies (NYSE:ESE) and Daimler Truck (OTCMKTS:DTRUY)

ESCO Technologies (NYSE:ESE) and Daimler Truck (OTCMKTS:DTRUY) are both industrials companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, dividends, earnings, valuation, institutional ownership, profitability and analyst recommendations.

Profitability

This table compares ESCO Technologies and Daimler Truck’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ESCO Technologies	24.39%	13.28%	8.69%
Daimler Truck	5.87%	4.79%	1.46%

Valuation & Earnings

This table compares ESCO Technologies and Daimler Truck”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ESCO Technologies	$1.10 billion	6.11	$299.22 million	$12.14	21.26
Daimler Truck	$51.50 billion	0.74	$2.23 billion	$0.09	276.33

Daimler Truck has higher revenue and earnings than ESCO Technologies. ESCO Technologies is trading at a lower price-to-earnings ratio than Daimler Truck, 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 ESCO Technologies and Daimler Truck, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ESCO Technologies	0	1	3	1	3.00
Daimler Truck	1	2	5	1	2.67

ESCO Technologies presently has a consensus price target of $416.50, indicating a potential upside of 61.35%. Given ESCO Technologies’ stronger consensus rating and higher probable upside, equities analysts plainly believe ESCO Technologies is more favorable than Daimler Truck.

Institutional and Insider Ownership

95.7% of ESCO Technologies shares are held by institutional investors. 0.7% of ESCO Technologies shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Dividends

ESCO Technologies pays an annual dividend of $0.32 per share and has a dividend yield of 0.1%. Daimler Truck pays an annual dividend of $0.79 per share and has a dividend yield of 3.2%. ESCO Technologies pays out 2.6% of its earnings in the form of a dividend. Daimler Truck pays out 877.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

ESCO Technologies beats Daimler Truck on 10 of the 15 factors compared between the two stocks.

About ESCO Technologies

ESCO Technologies Inc. produces and supplies engineered products and systems for industrial and commercial markets worldwide. It operates through three segments: Aerospace & Defense, Utility Solutions Group, and RF Test & Measurement. The Aerospace & Defense segment designs and manufactures filtration products, including hydraulic filter elements and fluid control devices used in commercial aerospace applications; filter mechanisms used in micro-propulsion devices for satellites; and custom designed filters for manned aircraft and submarines. It also designs, develops, and manufactures elastomeric-based signature reduction solutions for U.S. naval vessels; and mission-critical bushings, pins, sleeves, and precision-tolerance machined components for landing gear, rotor heads, engine mounts, flight controls, and actuation systems for the aerospace and defense industries. The Utility Solutions Group segment provides diagnostic testing solutions that enable electric power grid operators to assess the integrity of high-voltage power delivery equipment; and decision support tools for the renewable energy industry, primarily wind and solar. The RF Test & Measurement segment designs and manufactures RF test and secure communication facilities, acoustic test enclosures, RF and magnetically shielded rooms, RF measurement systems, and broadcast and recording studios; and RF absorptive materials, filters, antennas, field probes, test cells, proprietary measurement software, and other test accessories to perform various tests. The company distributes its products through a network of distributors, sales representatives, direct sales teams, and in-house sales personnel. The company was incorporated in 1990 and is based in Saint Louis, Missouri.

About Daimler Truck

Daimler Truck Holding AG manufactures and sells commercial trucks. The company was founded in 2021 and is based in Stuttgart, Germany.