Highway (HIHO) vs. Its Peers Head to Head Review

Profitability

This table compares Highway and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Highway	-10.36%	1.53%	0.93%
Highway Competitors	-12.33%	-35.54%	1.38%

Valuation & Earnings

This table compares Highway and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Highway	$6.32 million	-$960,000.00	-10.44
Highway Competitors	$2.03 billion	$107.04 million	6.08

Highway’s competitors have higher revenue and earnings than Highway. Highway is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Insider and Institutional Ownership

13.2% of Highway shares are owned by institutional investors. Comparatively, 57.2% of shares of all “METAL PROC&FABR” companies are owned by institutional investors. 32.1% of Highway shares are owned by company insiders. Comparatively, 12.0% of shares of all “METAL PROC&FABR” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Dividends

Highway pays an annual dividend of $0.07 per share and has a dividend yield of 3.9%. Highway pays out -41.2% of its earnings in the form of a dividend. As a group, “METAL PROC&FABR” companies pay a dividend yield of 1.7% and pay out 38.6% of their earnings in the form of a dividend. Highway is clearly a better dividend stock than its competitors, given its higher yield and lower payout ratio.

Volatility & Risk

Highway has a beta of 0.28, meaning that its stock price is 72% less volatile than the S&P 500. Comparatively, Highway’s competitors have a beta of 1.00, meaning that their average stock price is 0% more volatile than the S&P 500.

Summary

Highway competitors beat Highway on 6 of the 11 factors compared.

Highway Company Profile

Highway Holdings Limited, together with its subsidiaries, manufactures and supplies metal, plastic, electric, and electronic components, subassemblies, and finished products for original equipment manufacturers (OEMs) and contract manufacturers. It operates through two segments, Metal Stamping and Mechanical OEM; and Electric OEM. The company also trades in plastic injection products; and manufactures and assembles automation equipment. Its products are used in the manufacture of products, such as photocopiers, laser printers, print cartridges, electrical connectors, electrical circuits, vacuum cleaners, LED power supplies, stepping motors, pumps for dishwashers, and other washing machine components. In addition, the company assists customers in the design and development of the tooling used in the metal and plastic manufacturing process, as well as provides an array of other manufacturing and engineering services, including metal stamping, screen printing, plastic injection molding, pad printing, and electronic assembly of printed circuit boards. It operates in Hong Kong and China, Europe, North America, and other Asian countries. Highway Holdings Limited was incorporated in 1990 and is headquartered in Sheung Shui, Hong Kong.