Financial Analysis: Senstar Technologies (NASDAQ:SNT) versus Brady (NYSE:BRC)

Brady (NYSE:BRC) and Senstar Technologies (NASDAQ:SNT) are both industrials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, institutional ownership, earnings, dividends, profitability and risk.

Profitability

This table compares Brady and Senstar Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brady	12.50%	19.29%	13.31%
Senstar Technologies	13.49%	13.44%	9.93%

Insider & Institutional Ownership

76.3% of Brady shares are owned by institutional investors. Comparatively, 20.8% of Senstar Technologies shares are owned by institutional investors. 15.6% of Brady shares are owned by insiders. Comparatively, 24.4% of Senstar Technologies shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Brady and Senstar Technologies”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brady	$1.51 billion	2.35	$189.26 million	$3.93	19.21
Senstar Technologies	$38.04 million	2.70	$2.64 million	$0.22	20.05

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

Volatility & Risk

Brady has a beta of 0.78, meaning that its share price is 22% less volatile than the S&P 500. Comparatively, Senstar Technologies has a beta of 2.04, meaning that its share price is 104% more volatile than the S&P 500.

Dividends

Brady pays an annual dividend of $0.98 per share and has a dividend yield of 1.3%. Senstar Technologies pays an annual dividend of $0.80 per share and has a dividend yield of 18.1%. Brady pays out 24.9% of its earnings in the form of a dividend. Senstar Technologies pays out 363.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Brady has increased its dividend for 39 consecutive years.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Brady and Senstar Technologies, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brady	0	0	1	1	3.50
Senstar Technologies	0	1	0	0	2.00

Summary

Brady beats Senstar Technologies on 11 of the 17 factors compared between the two stocks.

About Brady

Brady Corporation manufactures and supplies identification solutions (IDS) and workplace safety (WPS) products to identify and protect premises, products, and people in the United States and internationally. The company offers materials, printing systems, RFID, and bar code scanners for product identification, brand protection labeling, work in process labeling, finished product identification, and industrial track and trace applications; safety signs, floor-marking tapes, pipe markers, labeling systems, spill control products, lockout/tagout device, and software and services for safety compliance auditing, procedure writing, and training; and hand-held printers, wire markers, sleeves, and tags for wire identification. It also provides name tags, badges, lanyards, rigid card printing systems, and access control software for people identification; and wristbands, labels, printing systems, and other products for tracking and improving the safety of patients. In addition, the company offers workplace safety, identification, and compliance products, such as safety and compliance signs, tags, labels, and markings; informational signage and markings; asset tracking labels; facility safety and personal protection equipment; first-aid products; and other compliance products for process, government, education, construction, and utilities industries. Further, it provides stock and custom identification products; and sells related resale products. The company serves industrial and electronic manufacturing, healthcare, chemical, oil, gas, automotive, aerospace, governments, mass transit, electrical contractors, education, leisure and entertainment, telecommunications, and other industries through distributors, direct sales force, and digital channels. Brady Corporation was incorporated in 1914 and is headquartered in Milwaukee, Wisconsin.

About Senstar Technologies

Senstar Technologies Corporation provides physical, video, and access control security products and solutions worldwide. It offers solutions for critical sites, which leverage its portfolio of perimeter intrusion detection systems, and video management software with intelligent video analytics security solutions, as well as access control products and technologies. The company's solutions and products are optimized for perimeter, outdoor, and general security applications. Its portfolio of critical infrastructure protection and site protection technologies includes various smart barriers and fences, fence mounted sensors, virtual gates, buried and concealed detection systems, and sensors for sub-surface intrusion, such as to secure pipelines, as well as video analytics software and video management systems. Senstar Technologies Corporation was incorporated in 1984 and is based in Ottawa, Canada.