Southland (NASDAQ:SLND) vs. Alfa Laval (OTCMKTS:ALFVY) Financial Analysis

Southland (NASDAQ:SLND) and Alfa Laval (OTCMKTS:ALFVY) are both industrials companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, valuation, analyst recommendations, dividends, earnings and profitability.

Valuation & Earnings

This table compares Southland and Alfa Laval”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Southland	$705.09 million	0.05	-$19.25 million	($6.10)	-0.10
Alfa Laval	$7.12 billion	3.47	$845.40 million	$2.11	28.37

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

Institutional and Insider Ownership

2.8% of Southland shares are held by institutional investors. Comparatively, 0.0% of Alfa Laval shares are held by institutional investors. 73.4% of Southland shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and recommmendations for Southland and Alfa Laval, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Southland	0	2	0	0	2.00
Alfa Laval	1	2	4	0	2.43

Southland currently has a consensus price target of $4.00, indicating a potential upside of 525.98%. Given Southland’s higher possible upside, research analysts plainly believe Southland is more favorable than Alfa Laval.

Volatility & Risk

Southland has a beta of 0.83, suggesting that its stock price is 17% less volatile than the S&P 500. Comparatively, Alfa Laval has a beta of 1.12, suggesting that its stock price is 12% more volatile than the S&P 500.

Profitability

This table compares Southland and Alfa Laval’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%
Alfa Laval	11.63%	18.60%	8.28%

Summary

Alfa Laval beats Southland on 11 of the 14 factors compared between the two stocks.

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 Alfa Laval

Alfa Laval Corporate AB provides heat transfer, separation, and fluid handling products and solutions worldwide. It operates in three divisions: Energy, Food & Water, and Marine. The company offers oil/gas-fired steam and composite steam boilers, exhaust gas economizer, and ballast water treatment systems, and exhaust gas cleaning products. It also provides sensing and control, cleaning validation, condition monitoring, agitators, tank, powder mixers, fittings, and tubes, as well as wall mounted cleaning nozzles, rotary jet and heads; and tank accessories and covers. In addition, the company offers centrifugal, rotary lobe, three screw, twin screw, and circumferential piston pumps. Further, it provides butterfly, control and check, double seal, diaphragm, double seat, regulating, safety, sampling, shutter, single seat, and ball valves. Additionally, the company offers heat exchanger, tube-in-tube heat exchangers, and process shell-and-tube heat exchangers. Furthermore, it provides finned tube air heat, scraped surface heat exchangers, and various plate heat exchangers, wet surface, and HYAC hybrid air coolers. The company also offers decanters and separator related products. It serves energy, utilities, home, personal care, food, dairy, beverage, marine, transportation, pharmaceutical, biotech, water, and wastewater industries. Alfa Laval Corporate AB was founded in 1883 and is headquartered in Lund, Sweden.