Comparing Timken (NYSE:TKR) and Remote Dynamics (OTCMKTS:RMTD)

Timken (NYSE:TKR) and Remote Dynamics (OTCMKTS:RMTD) are both computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, risk, profitability, dividends, valuation and earnings.

Analyst Recommendations

This is a summary of recent ratings for Timken and Remote Dynamics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Timken	0	3	6	0	2.67
Remote Dynamics	0	0	0	0	0.00

Timken presently has a consensus target price of $139.13, suggesting a potential upside of 9.83%. Given Timken’s stronger consensus rating and higher possible upside, analysts plainly believe Timken is more favorable than Remote Dynamics.

Insider & Institutional Ownership

89.1% of Timken shares are held by institutional investors. 8.1% of Timken shares are held 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.

Profitability

This table compares Timken and Remote Dynamics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Timken	6.60%	11.84%	5.79%
Remote Dynamics	N/A	N/A	N/A

Volatility and Risk

Timken has a beta of 1.18, meaning that its share price is 18% more volatile than the S&P 500. Comparatively, Remote Dynamics has a beta of -0.11, meaning that its share price is 111% less volatile than the S&P 500.

Earnings & Valuation

This table compares Timken and Remote Dynamics”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Timken	$4.58 billion	1.92	$288.40 million	$4.40	28.79
Remote Dynamics	N/A	N/A	N/A	N/A	N/A

Timken has higher revenue and earnings than Remote Dynamics.

Summary

Timken beats Remote Dynamics on 10 of the 10 factors compared between the two stocks.

About Timken

The Timken Company designs, manufactures, and sells engineered bearings and industrial motion products, and related services in the United States and internationally. The company's Engineered Bearings segment provides various bearing products, including tapered, spherical, and cylindrical roller bearings; plain bearings, metal-polymer bearings, and rod end bearings; radial, angular, and precision ball bearings; thrust and specialty ball bearings; journal bearings; and housed or mounted bearings. This segment serves wind energy, agriculture, construction, food and beverage, metals and mining, automotive and truck, aerospace, rail, and other industries under the Timken, GGB, and Fafnir brands. Its Industrial Motion segment offers a portfolio of engineered products comprising industrial drives, automatic lubrication systems, linear motion products and systems, chains, belts, seals, couplings, filtration systems, and industrial clutches and brakes. It also provides industrial drivetrain and bearing repairing services. This segment serves a range of industries, such as solar energy, automation, construction, agriculture and turf, passenger rail, marine, aerospace, packaging and logistics, medical, and others under the Philadelphia Gear, Cone Drive, Rollon, Nadella, Groeneveld, BEKA, Diamond, Drives, Timken Belts, Spinea, Des-Case, Lagersmit, Lovejoy, and PT Tech brands. The Timken Company was founded in 1899 and is headquartered in North Canton, Ohio.

About Remote Dynamics

Remote Dynamics, Inc. markets, sells, and supports automatic vehicle location and mobile resource management solutions. It serves its solutions to construction, field services, distribution, limousine, electrical/plumbing, waste management, and government. The company was incorporated in 1994 and is headquartered in Plano, Texas.