Analyzing Fortune Brands Innovations (NYSE:FBIN) and NWPX Infrastructure (NASDAQ:NWPX)

Fortune Brands Innovations (NYSE:FBIN) and NWPX Infrastructure (NASDAQ:NWPX) are both industrials companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, dividends, analyst recommendations, risk, institutional ownership, earnings and valuation.

Risk & Volatility

Fortune Brands Innovations has a beta of 1.31, meaning that its stock price is 31% more volatile than the S&P 500. Comparatively, NWPX Infrastructure has a beta of 1.08, meaning that its stock price is 8% more volatile than the S&P 500.

Earnings & Valuation

This table compares Fortune Brands Innovations and NWPX Infrastructure”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fortune Brands Innovations	$4.39 billion	1.11	$298.80 million	$1.23	33.32
NWPX Infrastructure	$574.44 million	1.67	$35.41 million	$4.99	19.91

Fortune Brands Innovations has higher revenue and earnings than NWPX Infrastructure. NWPX Infrastructure is trading at a lower price-to-earnings ratio than Fortune Brands Innovations, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Fortune Brands Innovations and NWPX Infrastructure’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fortune Brands Innovations	3.39%	19.50%	7.09%
NWPX Infrastructure	8.49%	12.22%	7.93%

Institutional and Insider Ownership

87.6% of Fortune Brands Innovations shares are held by institutional investors. Comparatively, 80.6% of NWPX Infrastructure shares are held by institutional investors. 3.3% of Fortune Brands Innovations shares are held by insiders. Comparatively, 3.3% of NWPX Infrastructure shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Fortune Brands Innovations and NWPX Infrastructure, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fortune Brands Innovations	2	9	6	1	2.33
NWPX Infrastructure	0	3	1	1	2.60

Fortune Brands Innovations presently has a consensus target price of $52.67, indicating a potential upside of 28.51%. NWPX Infrastructure has a consensus target price of $110.00, indicating a potential upside of 10.72%. Given Fortune Brands Innovations’ higher probable upside, research analysts plainly believe Fortune Brands Innovations is more favorable than NWPX Infrastructure.

Summary

Fortune Brands Innovations beats NWPX Infrastructure on 9 of the 14 factors compared between the two stocks.

About Fortune Brands Innovations

Fortune Brands Innovations, Inc. provides home and security products for residential home repair, remodeling, new construction, and security applications in the United States and internationally. The company operates through three segments: Water, Outdoors, and Security. The Water segment manufactures or assembles, and sells faucets, accessories, kitchen sinks, and waste disposals under the Moen, ROHL, Riobel, Victoria+Albert, Perrin & Rowe, Aqualisa, Shaws, Emtek, and Schaub brands. The Outdoors segment manufactures and sells fiberglass and steel entry door systems under the Therma-Tru brand; storm, screen, and security doors under the Larson brand; composite decking, railing, and cladding under the Fiberon brand; and urethane millwork under the Fypon brand. The Security segment manufactures, sources, and distributes locks, safety and security devices, and electronic security products under the Master Lock, American Lock, Yale, and August brands; and fire-resistant safes, security containers, and commercial cabinets under the SentrySafe brand. The company sells its products through various sales channels, including kitchen and bath dealers, wholesalers oriented toward builders or professional remodelers, industrial and locksmith distributors, do-it-yourself remodeling-oriented home centers, showrooms, e-commerce, and other retail outlets. Fortune Brands Innovations, Inc. was incorporated in 1988 and is headquartered in Deerfield, Illinois.

About NWPX Infrastructure

Northwest Pipe Company, together with its subsidiaries, engages in the manufacture and supply of water-related infrastructure products in North America. It operates in two segments, Engineered Steel Pressure Pipe (SPP) and Precast Infrastructure and Engineered Systems (Precast). The SPP segment offers large-diameter and high-pressure steel pipeline systems for use in water infrastructure applications, which are primarily related to drinking water systems. Its products are also used for hydroelectric power systems, wastewater systems, seismic resiliency, and other applications. In addition, this segment makes products for industrial plant piping systems and certain structural applications. The Precast segment provides stormwater and wastewater technology products, precast, and reinforced concrete products, including reinforced concrete pipe, manholes, box culverts, vaults and catch basins, pump lift stations, oil water separators, biofiltration units, steel casing pipes, and bar-wrapped concrete cylinder pipes, as well as pipeline system joints, fittings, specialized components, and other environmental and engineered solutions. The company sells its water infrastructure products under ParkUSA, Geneva Pipe and Precast, Permalok, and Northwest Pipe Company brands primarily to installation contractors. Northwest Pipe Company was incorporated in 1966 and is headquartered in Vancouver, Washington.