Head-To-Head Analysis: LSI Industries (NASDAQ:LYTS) & BYD Electronic (International) (OTC:BYDIF)

LSI Industries (NASDAQ:LYTS) and BYD Electronic (International) (OTC:BYDIF) are both construction companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, risk, analyst recommendations, dividends, institutional ownership, valuation and profitability.

Profitability

This table compares LSI Industries and BYD Electronic (International)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
LSI Industries	5.71%	14.91%	9.19%
BYD Electronic (International)	N/A	N/A	N/A

Institutional and Insider Ownership

73.9% of LSI Industries shares are owned by institutional investors. Comparatively, 9.7% of BYD Electronic (International) shares are owned by institutional investors. 7.7% of LSI Industries shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Dividends

LSI Industries pays an annual dividend of $0.20 per share and has a dividend yield of 1.4%. BYD Electronic (International) pays an annual dividend of C$0.03 per share and has a dividend yield of 0.8%. LSI Industries pays out 22.0% of its earnings in the form of a dividend. BYD Electronic (International) pays out 7.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Earnings & Valuation

This table compares LSI Industries and BYD Electronic (International)’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
LSI Industries	$496.98 million	0.83	$25.76 million	$0.91	15.57
BYD Electronic (International)	N/A	N/A	N/A	C$0.41	8.36

LSI Industries has higher revenue and earnings than BYD Electronic (International). BYD Electronic (International) is trading at a lower price-to-earnings ratio than LSI Industries, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and recommmendations for LSI Industries and BYD Electronic (International), as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LSI Industries	0	0	2	0	3.00
BYD Electronic (International)	0	0	1	0	3.00

LSI Industries presently has a consensus price target of $21.50, indicating a potential upside of 51.73%. Given LSI Industries’ higher possible upside, research analysts clearly believe LSI Industries is more favorable than BYD Electronic (International).

Summary

LSI Industries beats BYD Electronic (International) on 11 of the 12 factors compared between the two stocks.

About LSI Industries

LSI Industries Inc. produces and sells non-residential lighting and retail display solutions in the United States, Canada, Mexico, and Latin America. It operates through two segments, Lighting and Display Solutions. The Lighting segment manufactures, markets, and sells non-residential outdoor and indoor lighting fixture and control solutions in the commercial and industrial markets. This segment also offers lighting control products, including sensors, photocontrols, dimmers, motion detection, and Bluetooth systems to support lighting fixtures; and designs, engineers, and manufactures electronic circuit boards, assemblies, and sub-assemblies. The Display Solutions segment manufactures, sells, and installs exterior and interior visual image and display elements, including printed and structural graphics, digital signage, menu board systems, display fixtures, refrigerated displays, and custom display elements. This segments products and services include signage and canopy graphics, pump dispenser graphics, building fascia graphics, decals, interior signage and marketing graphics, aisle markers, wall mural graphics, and refrigerated and non-refrigerated merchandising displays. This segment also provides project management services comprising installation management, site surveys, permitting, and content management; and manages and executes the implementation of large rollout programs. It serves refueling and convenience store, parking lot and garage, quick-service restaurant, retail and grocery store, automotive, warehouse, sports court, and field markets, as well as warehouses. LSI Industries Inc. was founded in 1976 and is headquartered in Cincinnati, Ohio.

About BYD Electronic (International)

BYD Electronic (International) Company Limited, together with its subsidiaries, operates as an investment holding company, designs, manufactures, assembles, and sells mobile handset components and modules in the People's Republic of China and internationally. The company also provides assembly services; and manufactures and sells batteries, chargers, and iron phosphate batteries for use in electric buses, trucks, cars, and forklifts, as well as its components and spare parts. In addition, it builds and maintains monorail projects. BYD Electronic (International) Company Limited was founded in 1995 and is headquartered in Shenzhen, the People's Republic of China.