Vontier (NYSE:VNT) and Bel Fuse (NASDAQ:BELFA) Head-To-Head Survey

Bel Fuse (NASDAQ:BELFA) and Vontier (NYSE:VNT) are both mid-cap technology companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, risk, earnings, valuation, analyst recommendations, institutional ownership and profitability.

Dividends

Bel Fuse pays an annual dividend of $0.24 per share and has a dividend yield of 0.1%. Vontier pays an annual dividend of $0.10 per share and has a dividend yield of 0.3%. Bel Fuse pays out 6.1% of its earnings in the form of a dividend. Vontier pays out 4.1% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Bel Fuse has increased its dividend for 1 consecutive years. Vontier is clearly the better dividend stock, given its higher yield and lower payout ratio.

Profitability

This table compares Bel Fuse and Vontier’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bel Fuse	7.21%	20.55%	11.02%
Vontier	11.34%	38.57%	11.30%

Earnings and Valuation

This table compares Bel Fuse and Vontier”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bel Fuse	$675.46 million	4.25	$61.54 million	$3.91	50.81
Vontier	$3.07 billion	1.38	$406.10 million	$2.41	12.99

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

Risk and Volatility

Bel Fuse has a beta of 1.39, indicating that its stock price is 39% more volatile than the S&P 500. Comparatively, Vontier has a beta of 1.13, indicating that its stock price is 13% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations for Bel Fuse and Vontier, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bel Fuse	0	1	1	0	2.50
Vontier	1	3	4	0	2.38

Bel Fuse presently has a consensus price target of $250.00, suggesting a potential upside of 25.84%. Vontier has a consensus price target of $41.00, suggesting a potential upside of 30.99%. Given Vontier’s higher probable upside, analysts plainly believe Vontier is more favorable than Bel Fuse.

Insider & Institutional Ownership

6.0% of Bel Fuse shares are owned by institutional investors. Comparatively, 95.8% of Vontier shares are owned by institutional investors. 4.8% of Bel Fuse shares are owned by company insiders. Comparatively, 1.1% of Vontier shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Vontier beats Bel Fuse on 10 of the 17 factors compared between the two stocks.

About Bel Fuse

Bel Fuse Inc. designs, manufactures, markets, and sells products that power, protect, and connect electronic circuits. The company's products are used in the networking, telecommunications, computing, general industrial, high-speed data transmission, military, commercial aerospace, transportation, and e-Mobility industries. It provides power solutions and protection products, including front-end power supplies, board-mount power products, industrial and transportation power products, external power products, and circuit protection products. The company also offers connectivity solutions, such as expanded beam fiber optic connectors, cable assemblies, and active optical devices; copper-based connectors/cable assemblies; radio frequency connectors, cable assemblies, microwave devices, and low loss cables; and ethernet, I/O, and industrial and power connectivity products. In addition, it provides magnetic solutions comprising integrated connector modules, power transformers, SMD power inductors and SMPS transformers, and ethernet discrete components. The company sells its products through direct strategic account managers, regional sales managers working with independent sales representative organizations, and authorized distributors in the United States, the People's Republic of China, Macao, the United Kingdom, Slovakia, Germany, India, Switzerland, and internationally. Bel Fuse Inc. was incorporated in 1949 and is headquartered in West Orange, New Jersey.

About Vontier

Vontier Corporation provides mobility ecosystem solutions worldwide. The company operates through Mobility Technologies, Repair Solutions, and Environmental and Fueling Solutions segments. The Mobility Technologies segment provides digitally equipment solutions for mobility ecosystem, such as point-of-sale and payment systems, workflow automation, telematics, data analytics, software platform, and integrated solutions for alternative fuel dispensing. The Repair Solutions segment manufactures and distributes vehicle repair tools, toolboxes, automotive diagnostic equipment and software through mobile franchise network. The Environmental and Fueling Solutions segment offers environmental, fueling hardware, software, and aftermarket solutions for fueling infrastructures. It also offers a range of solutions, including environmental sensors; fueling equipment; field payment hardware; point-of sale, workflow, and monitoring software; vehicle tracking and fleet management; software solutions for EV charging; and vehicle mechanics, and technicians equipment. The company markets its products and services to retail and commercial fueling, convenience store, and car wash operators; commercial vehicle repair businesses, fleet owners/operators and electric vehicle charging network operators, as well as direct sales personnel and independent distributors. It serves customers in North America, the Asia Pacific, Europe, and Latin America. Vontier Corporation was incorporated in 2019 and is headquartered in Raleigh, North Carolina.