Critical Contrast: SKK (NASDAQ:SKK) versus Dycom Industries (NYSE:DY)

Dycom Industries (NYSE:DY) and SKK (NASDAQ:SKK) are both construction companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, earnings, profitability, risk, analyst recommendations, valuation and dividends.

Earnings and Valuation

This table compares Dycom Industries and SKK”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Dycom Industries	$4.57 billion	1.11	$218.92 million	$7.60	22.86
SKK	$9.76 million	N/A	N/A	N/A	N/A

Dycom Industries has higher revenue and earnings than SKK.

Profitability

This table compares Dycom Industries and SKK’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Dycom Industries	4.91%	20.99%	8.62%
SKK	N/A	N/A	N/A

Insider and Institutional Ownership

98.3% of Dycom Industries shares are held by institutional investors. 4.3% of Dycom Industries shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and price targets for Dycom Industries and SKK, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dycom Industries	0	0	7	1	3.13
SKK	0	0	0	0	0.00

Dycom Industries currently has a consensus price target of $206.13, indicating a potential upside of 18.63%. Given Dycom Industries’ stronger consensus rating and higher possible upside, analysts plainly believe Dycom Industries is more favorable than SKK.

Summary

Dycom Industries beats SKK on 10 of the 10 factors compared between the two stocks.

About Dycom Industries

Dycom Industries, Inc. provides specialty contracting services to the telecommunications infrastructure and utility industries in the United States. The company offers engineering services to telecommunications providers, including the planning and design of aerial, underground, and buried fiber optic, copper, and coaxial cable systems; wireless networks in connection with the deployment of macro cell and new small cell sites; and program and project management and inspection personnel. It also provides construction, maintenance, and installation services for telephone companies and cable multiple system operators, such as placement and splicing of copper, fiber, and coaxial cables; tower construction, lines and antenna installation, foundation and equipment pad construction, and small cell site placement for wireless carriers, as well as equipment installation and material fabrication, and site testing services; underground facility locating services comprising locating telephone, cable television, power, water, sewer, and gas lines; installation and maintenance of customer premise equipment, including digital video recorders, set top boxes, and modems for cable system operators; and construction and maintenance services for electric and gas utilities, and other customers. Dycom Industries, Inc. was incorporated in 1969 and is headquartered in Palm Beach Gardens, Florida.

About SKK

SKK Holdings Limited, through its subsidiaries, provides civil engineering services in Singapore. It undertakes subsurface utility works, such as power and telecommunication cable laying works, water pipeline works, and sewer rehabilitation works. The company also offers gas pipeline and sewer construction works; and underground piping, underground utility infrastructure construction and maintenance, horizontal directional drilling, and plumbing and sanitary works. It serves government authorities, utility companies, or contractors. The company was founded in 2013 and is headquartered in Singapore.