Analyzing Techprecision (NASDAQ:TPCS) & TriMas (NASDAQ:TRS)

TriMas (NASDAQ:TRS) and Techprecision (NASDAQ:TPCS) are both small-cap industrials companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, analyst recommendations, dividends and valuation.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for TriMas and Techprecision, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TriMas	0	0	1	0	3.00
Techprecision	0	0	0	0	0.00

TriMas currently has a consensus price target of $40.00, suggesting a potential upside of 32.85%. Given TriMas’ stronger consensus rating and higher possible upside, research analysts plainly believe TriMas is more favorable than Techprecision.

Profitability

This table compares TriMas and Techprecision’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TriMas	3.36%	10.54%	5.24%
Techprecision	-24.07%	-97.70%	-23.19%

Institutional and Insider Ownership

99.4% of TriMas shares are held by institutional investors. Comparatively, 15.5% of Techprecision shares are held by institutional investors. 14.2% of TriMas shares are held by company insiders. Comparatively, 15.4% of Techprecision shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TriMas	$925.01 million	1.32	$24.25 million	$0.77	39.10
Techprecision	$31.59 million	1.16	-$7.04 million	($0.89)	-4.21

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

Volatility & Risk

TriMas has a beta of 0.63, meaning that its stock price is 37% less volatile than the S&P 500. Comparatively, Techprecision has a beta of 0.22, meaning that its stock price is 78% less volatile than the S&P 500.

Summary

TriMas beats Techprecision on 13 of the 14 factors compared between the two stocks.

About TriMas

TriMas Corporation engages in the design, development, manufacture, and sale of products for consumer products, aerospace, and industrial markets worldwide. The company operates through Packaging, Aerospace, and Specialty Products segments. The Packaging segment offers dispensing products, such as foaming and sanitizer pumps, lotion and hand soap pumps, beverage dispensers, perfume sprayers, and nasal and trigger sprayers; polymeric and steel caps and closures comprising food lids, flip-top and beverage closures, child resistance caps, drum and pail closures, and flexible spouts; polymeric jar products; integrated dispensers; bag-in-box products; and consumable vascular delivery and diagnostic test components under the Rieke, Taplast, Affaba & Ferrari, Intertech, Omega, and Rapak brands. The Aerospace segment provides fasteners, collars, blind bolts, rivets, ducting, and connectors for air management systems, and other highly-machined parts and components to original equipment manufacturers, supply chain distributors, and tier one suppliers, as well as maintenance, repair and overhaul (MRO)/aftermarket providers; and military and defense aerospace applications and platforms under the Monogram Aerospace Fasteners, Allfast Fastening Systems, Mac Fasteners, TFI Aerospace, RSA Engineered Products, and Martinic Engineering brands. The Specialty Products segment offers steel cylinders for use in the transportation, storage, and dispensing of compressed gases under the Norris Cylinder brand; natural gas powered wellhead engines, compressors, and replacement parts for oil and natural gas production, and other industrial and commercial markets under the Arrow brand; and spare parts for various industrial engines. It sells its products through a direct sales force, third-party agents, and distributors. TriMas Corporation was incorporated in 1986 and is headquartered in Bloomfield Hills, Michigan.

About Techprecision

TechPrecision Corporation, together with its subsidiaries, manufactures and sells precision, fabricated, and machined metal structural components and systems in the United States. The company operates through two segments, Ranor and Stadco. It provides custom components for ships, submarines, military helicopters, aerospace equipment, components for nuclear power plants, and components for medical systems. The company also provides support services to its manufacturing capabilities comprising manufacturing engineering, quality control, materials procurement, production control, and final assembly. Its finished products are used various markets, including defense, aerospace, nuclear, medical, and precision industrial. The company was founded in 1956 and is headquartered in Westminster, Massachusetts.