Financial Analysis: Southland (NASDAQ:SLND) vs. Solarmax Technology (NASDAQ:SMXT)

Southland (NASDAQ:SLND) and Solarmax Technology (NASDAQ:SMXT) are both small-cap industrials companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, analyst recommendations, risk, valuation, institutional ownership and earnings.

Profitability

This table compares Southland and Solarmax Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Southland	-10.38%	-47.71%	-8.75%
Solarmax Technology	-5.40%	N/A	-7.25%

Analyst Recommendations

This is a breakdown of recent recommendations for Southland and Solarmax Technology, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Southland	0	1	0	0	2.00
Solarmax Technology	1	0	0	0	1.00

Volatility & Risk

Southland has a beta of 0.83, suggesting that its share price is 17% less volatile than the S&P 500. Comparatively, Solarmax Technology has a beta of 0.24, suggesting that its share price is 76% less volatile than the S&P 500.

Earnings and Valuation

This table compares Southland and Solarmax Technology”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Southland	$603.01 million	0.06	-$19.25 million	($7.46)	-0.09
Solarmax Technology	$90.98 million	0.20	-$6.32 million	($1.32)	-2.97

Solarmax Technology has lower revenue, but higher earnings than Southland. Solarmax Technology is trading at a lower price-to-earnings ratio than Southland, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

2.8% of Southland shares are owned by institutional investors. 73.4% of Southland shares are owned by insiders. Comparatively, 25.4% of Solarmax Technology 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.

About Southland

Southland Holdings, Inc. engages in specialty infrastructure construction business in North America and internationally. The company operates through two segments, Civil and Transportation. The Civil segment designs and constructs water pipelines, pump stations, lift stations, water and wastewater treatment plants, concrete and structural steel, outfall, and tunneling. The Transportation segment designs and constructs bridges, roadways, marine, dredging, ship terminals and piers, and specialty structures and facilities, as well as convention centers, sports stadiums, marine facilities, and ferris wheels. Southland Holdings, Inc. was founded in 1900 and is headquartered in Grapevine, Texas.

About Solarmax Technology

SolarMax Technology, Inc., through its subsidiaries, operates as an integrated solar energy company in the United States and China. The company engages in the sale and installation of photovoltaic and battery backup systems; sale of LED systems; and identifying and procuring solar farm projects for resale to third parties, as well as provision of engineering, procuring, and construction services for solar farm projects. It serves residential, commercial, and government customers. SolarMax Technology, Inc. was incorporated in 2008 and is headquartered in Riverside, California.