Lianhe Sowell International Group (NASDAQ:LHSW) & W.W. Grainger (NYSE:GWW) Financial Comparison

Lianhe Sowell International Group (NASDAQ:LHSW) and W.W. Grainger (NYSE:GWW) are both industrials companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, profitability, valuation, dividends and risk.

Insider and Institutional Ownership

80.7% of W.W. Grainger shares are held by institutional investors. 6.1% of W.W. Grainger shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Lianhe Sowell International Group and W.W. Grainger’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lianhe Sowell International Group	N/A	N/A	N/A
W.W. Grainger	10.99%	49.63%	21.63%

Analyst Recommendations

This is a summary of current ratings and target prices for Lianhe Sowell International Group and W.W. Grainger, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lianhe Sowell International Group	1	0	0	0	1.00
W.W. Grainger	2	7	3	1	2.23

W.W. Grainger has a consensus target price of $1,073.88, suggesting a potential upside of 11.85%. Given W.W. Grainger’s stronger consensus rating and higher possible upside, analysts clearly believe W.W. Grainger is more favorable than Lianhe Sowell International Group.

Earnings and Valuation

This table compares Lianhe Sowell International Group and W.W. Grainger”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lianhe Sowell International Group	N/A	N/A	N/A	N/A	N/A
W.W. Grainger	$17.17 billion	2.67	$1.91 billion	$39.41	24.36

W.W. Grainger has higher revenue and earnings than Lianhe Sowell International Group.

Summary

W.W. Grainger beats Lianhe Sowell International Group on 10 of the 10 factors compared between the two stocks.

About Lianhe Sowell International Group

Lianhe Sowell International Group Ltd. is a holding company, which engages in trading of electronic products and software development. Its products include Intelligent traffic, low voltage Intelligent Integration, Industrial Intelligence, Industrial machine vision, and precision visual Al painting robot. The company was founded by Yue Zhu on April 6, 2007 and is headquartered in Shenzhen, China.

About W.W. Grainger

W.W. Grainger, Inc., together with its subsidiaries, distributes maintenance, repair, and operating products and services primarily in North America, Japan, the United Kingdom, and internationally. The company operates through two segments, High-Touch Solutions N.A. and Endless Assortment. The company provides safety, security, material handling and storage equipment, pumps and plumbing equipment, cleaning and maintenance, and metalworking and hand tools. It also offers technical support and inventory management services. The company serves smaller businesses to large corporations, government entities, and other institutions, as well as commercial, healthcare, and manufacturing industries through sales and service representatives, and electronic and ecommerce channels. W.W. Grainger, Inc. was founded in 1927 and is headquartered in Lake Forest, Illinois.