Critical Review: Jewett-Cameron Trading (JCTC) & Its Rivals

Jewett-Cameron Trading (NASDAQ:JCTC) is one of 94 publicly-traded companies in the “Building Products” industry, but how does it compare to its rivals? We will compare Jewett-Cameron Trading to similar companies based on the strength of its valuation, analyst recommendations, profitability, risk, institutional ownership, dividends and earnings.

Profitability

This table compares Jewett-Cameron Trading and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Jewett-Cameron Trading	-20.94%	-38.35%	-29.29%
Jewett-Cameron Trading Competitors	3.26%	39.82%	5.02%

Earnings & Valuation

This table compares Jewett-Cameron Trading and its rivals revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Jewett-Cameron Trading	$41.30 million	-$4.13 million	-1.27
Jewett-Cameron Trading Competitors	$4.00 billion	$4.66 billion	41.04

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

Insider & Institutional Ownership

26.1% of Jewett-Cameron Trading shares are owned by institutional investors. Comparatively, 63.6% of shares of all “Building Products” companies are owned by institutional investors. 1.3% of Jewett-Cameron Trading shares are owned by company insiders. Comparatively, 10.3% of shares of all “Building Products” companies are owned 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.

Risk & Volatility

Jewett-Cameron Trading has a beta of 0.34, meaning that its stock price is 66% less volatile than the S&P 500. Comparatively, Jewett-Cameron Trading’s rivals have a beta of 1.06, meaning that their average stock price is 6% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Jewett-Cameron Trading and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Jewett-Cameron Trading	1	0	0	0	1.00
Jewett-Cameron Trading Competitors	697	3786	4908	222	2.48

As a group, “Building Products” companies have a potential upside of 17.40%. Given Jewett-Cameron Trading’s rivals stronger consensus rating and higher probable upside, analysts clearly believe Jewett-Cameron Trading has less favorable growth aspects than its rivals.

Summary

Jewett-Cameron Trading rivals beat Jewett-Cameron Trading on 13 of the 13 factors compared.

Jewett-Cameron Trading Company Profile

Jewett-Cameron Trading Company Ltd. is a supplier of `Value-added` building materials to major home improvement center chains in the western United States. The Company concentrates on the residential repair and remodeling segment of the building materials industry.