DXP Enterprises (NASDAQ:DXPE) & THT Heat Transfer Technology (OTCMKTS:THTI) Critical Analysis

THT Heat Transfer Technology (OTCMKTS:THTI) and DXP Enterprises (NASDAQ:DXPE) are both industrials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, profitability, dividends, institutional ownership, risk and earnings.

Analyst Ratings

This is a summary of current recommendations and price targets for THT Heat Transfer Technology and DXP Enterprises, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
THT Heat Transfer Technology	0	0	0	0	0.00
DXP Enterprises	0	0	3	0	3.00

DXP Enterprises has a consensus target price of $95.00, suggesting a potential downside of 17.95%. Given DXP Enterprises’ stronger consensus rating and higher probable upside, analysts clearly believe DXP Enterprises is more favorable than THT Heat Transfer Technology.

Insider and Institutional Ownership

74.8% of DXP Enterprises shares are owned by institutional investors. 22.4% of THT Heat Transfer Technology shares are owned by insiders. Comparatively, 22.7% of DXP Enterprises shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares THT Heat Transfer Technology and DXP Enterprises”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
THT Heat Transfer Technology	N/A	N/A	N/A	N/A	N/A
DXP Enterprises	$1.80 billion	1.01	$70.49 million	$5.28	21.93

DXP Enterprises has higher revenue and earnings than THT Heat Transfer Technology.

Profitability

This table compares THT Heat Transfer Technology and DXP Enterprises’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
THT Heat Transfer Technology	N/A	N/A	N/A
DXP Enterprises	4.45%	19.62%	6.40%

Summary

DXP Enterprises beats THT Heat Transfer Technology on 9 of the 9 factors compared between the two stocks.

About THT Heat Transfer Technology

THT Heat Transfer Technology, Inc. engages in the manufacture and trading of plate heat exchangers and related products. It offers plate heat exchangers, heat exchanger units, air-cooled heat exchangers, and shell-and-tube heat exchangers. The company was founded on August 7, 2006 and is headquartered in Siping, China.

About DXP Enterprises

DXP Enterprises, Inc., together with its subsidiaries, engages in distributing maintenance, repair, and operating (MRO) products, equipment, and services in the United States and Canada. It operates through three segments: Service Centers (SC), Supply Chain Services (SCS), and Innovative Pumping Solutions (IPS). The SC segment offers MRO products, equipment, and integrated services, including technical expertise and logistics services. It offers a range of MRO products in the rotating equipment, bearing, power transmission, hose, fluid power, metal working, fastener, industrial supply, safety products, and safety services categories. This segment serves customers in the oil and gas, food and beverage, petrochemical, transportation, other general industrial, mining, construction, chemical, municipal, agriculture, and pulp and paper industries. The SCS segment manages procurement and inventory vinventory optimization and management, storeroom management, transaction consolidation and control, vendor oversight and procurement cost optimization, productivity improvement, and customized reporting services. Its programs include SmartAgreement, a procurement solution for various MRO categories; SmartBuy, an on-site or centralized MRO procurement solution; SmartSource, an on-site procurement and storeroom management solution; SmartStore, an e-Catalog solution; SmartVend, an industrial dispensing solution; and SmartServ, an integrated service pump solution. The IPS segment fabricates and assembles custom-made pump packages; remanufactures pumps; and manufactures branded private label pumps. DXP Enterprises, Inc. was founded in 1908 and is based in Houston, Texas.