Critical Analysis: REV Group (NYSE:REVG) & Jungheinrich (OTCMKTS:JGHAF)

REV Group (NYSE:REVG) and Jungheinrich (OTCMKTS:JGHAF) are both transportation companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, earnings, profitability, dividends, risk and institutional ownership.

Earnings and Valuation

This table compares REV Group and Jungheinrich”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
REV Group	$2.46 billion	1.27	$95.20 million	$1.91	33.46
Jungheinrich	$5.84 billion	0.27	$312.72 million	N/A	N/A

Jungheinrich has higher revenue and earnings than REV Group.

Analyst Ratings

This is a breakdown of recent ratings and target prices for REV Group and Jungheinrich, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
REV Group	0	3	1	1	2.60
Jungheinrich	0	0	0	0	0.00

REV Group currently has a consensus price target of $55.67, suggesting a potential downside of 12.88%. Given REV Group’s stronger consensus rating and higher probable upside, research analysts plainly believe REV Group is more favorable than Jungheinrich.

Profitability

This table compares REV Group and Jungheinrich’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
REV Group	3.86%	31.67%	10.30%
Jungheinrich	N/A	N/A	N/A

Volatility and Risk

REV Group has a beta of 1.14, meaning that its share price is 14% more volatile than the S&P 500. Comparatively, Jungheinrich has a beta of -0.13, meaning that its share price is 113% less volatile than the S&P 500.

Summary

REV Group beats Jungheinrich on 9 of the 11 factors compared between the two stocks.

About REV Group

REV Group, Inc., together with its subsidiaries, designs, manufactures, and distributes specialty vehicles, and related aftermarket parts and services in the United States, Canada, and internationally. It operates through three segments: Fire & Emergency, Commercial, and Recreation. The Fire & Emergency segment provides fire apparatus equipment under the Emergency One, Kovatch Mobile Equipment, Ferrara, Spartan Emergency Response, Smeal, Spartan Fire Chassis, and Ladder Tower brand names; and ambulances under the American Emergency Vehicles, Horton Emergency Vehicles, Leader Emergency Vehicles, Road Rescue, and Wheeled Coach brand names. The Commercial segment offers transit buses, type A school buses, sweepers, and terminal trucks under the Collins Bus, Eldorado National (California), Magellan, Capacity, and LayMor brand names. The Recreation segment offers motorized and towable RV models under the American Coach, Fleetwood RV, Holiday Rambler, Renegade RV, Midwest Automotive Designs, and Lance Camper brands; and produces a range of custom molded fiberglass products. The company sells its products to municipalities, government agencies, private contractors, consumers, and industrial and commercial end users through its direct sales force or dealer network. The company was formerly known as Allied Specialty Vehicles, Inc. and changed its name to REV Group, Inc. in November 2015. REV Group, Inc. was incorporated in 2008 and is based in Brookfield, Wisconsin.

About Jungheinrich

Jungheinrich Aktiengesellschaft, through its subsidiaries, provides products and solutions for the intralogistics sector with a portfolio of material handling equipment, automated systems, and matching services worldwide. It operates in two segments, Intralogistics and Financial Services. The Intralogistics segment engages in the development, production, sale, and short-term rental of new material handling equipment and warehousing equipment products, including automation; sale and short-term leasing of used trucks; and provides spare parts, as well as maintenance and repair services. The Financial Services segment engages in the sales financing and usage transfer of material handling and warehousing equipment products. The company's products include electric and hand pallet trucks, electric pallet stackers; order pickers; reach trucks; very narrow aisle trucks and EKX cold store high rack stacker; electric forklift; tow tractors, tugger train trailers, shuttles, and used forklift trucks. It also offers rental of fleet, and battery and charger; contract and event hire service; automated guided vehicles, conveyor technology, and stacker cranes; lithium-ion and lead-acid batteries; charging technology; powertrain solutions; electric drives/drivetrains; controllers; electromechanics components/control pedals/displays; electric mounting panels; and cable sets. In addition, the company provides warehouse racking and storage services; digital products and software solutions, including warehouse management system, fleet management system, device and process management solutions, and interface management; and wi-fi infrastructure, barcode scanners, and mobile workstations; as well as develops software applications. It distributes its products through its direct sales and service network, as well as through dealers. Jungheinrich Aktiengesellschaft was founded in 1953 and is headquartered in Hamburg, Germany.