Critical Comparison: Hon Hai Precision Industry (OTCMKTS:HNHPF) vs. Nomura Research Institute (OTCMKTS:NRILY)

Hon Hai Precision Industry (OTCMKTS:HNHPF) and Nomura Research Institute (OTCMKTS:NRILY) are both large-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, earnings, analyst recommendations, institutional ownership, risk and valuation.

Analyst Ratings

This is a summary of recent recommendations for Hon Hai Precision Industry and Nomura Research Institute, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hon Hai Precision Industry	0	0	1	0	3.00
Nomura Research Institute	0	1	0	0	2.00

Risk and Volatility

Hon Hai Precision Industry has a beta of 0.76, suggesting that its share price is 24% less volatile than the S&P 500. Comparatively, Nomura Research Institute has a beta of 0.66, suggesting that its share price is 34% less volatile than the S&P 500.

Valuation & Earnings

This table compares Hon Hai Precision Industry and Nomura Research Institute”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hon Hai Precision Industry	N/A	N/A	N/A	N/A	N/A
Nomura Research Institute	$5.10 billion	4.61	$549.54 million	$1.08	37.51

Nomura Research Institute has higher revenue and earnings than Hon Hai Precision Industry.

Profitability

This table compares Hon Hai Precision Industry and Nomura Research Institute’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hon Hai Precision Industry	N/A	N/A	N/A
Nomura Research Institute	11.96%	21.78%	9.99%

Dividends

Hon Hai Precision Industry pays an annual dividend of $0.22 per share and has a dividend yield of 2.2%. Nomura Research Institute pays an annual dividend of $0.26 per share and has a dividend yield of 0.6%. Nomura Research Institute pays out 24.1% of its earnings in the form of a dividend.

Summary

Hon Hai Precision Industry beats Nomura Research Institute on 5 of the 9 factors compared between the two stocks.

About Hon Hai Precision Industry

Hon Hai Precision Industry Co., Ltd. provides electronic OEM services. The company offers consumer electronics comprising of television sets, game consoles, set-top boxes, and speakers. It also provides cloud networking products consisting of routers, servers, edge computing, data centers, and satellite communications and other related equipment. In addition, the company offers desktop computers, notebook computers, tablets, business machines, printers, etc. Further, it provides connectors, precision optical components, lenses, electronic components, semiconductor products, automotive electronic parts, cutting tools/mold fixtures, and mechanical equipment. The company operates in Taiwan, Mainland China, India, Japan, Vietnam, Malaysia, Singapore, the Czech Republic, Hungary, Slovakia, the United States, Brazil, and Mexico. Hon Hai Precision Industry Co., Ltd. was founded in 1974 and is headquartered in New Taipei City, Taiwan.

About Nomura Research Institute

Nomura Research Institute, Ltd. provides consulting, financial information technology (IT) solution, industrial IT solution, and IT platform services in Japan and internationally. Its Consulting segment offers management, operational, and system consulting services for enterprises and government agencies. This segment also offers research, future projections, and recommendations to society, economics, business, technology, etc. The company's Financial IT Solutions segment provides system consulting, development, and management solutions, as well as shared online and BPO services for the financial institutions, including the securities, insurance, banking, asset management, and other financial sectors. Its Industrial IT Solutions segment offers system consulting, development, and management solutions, as well as shared online services primarily for the distribution, manufacturing, service, and public sectors. The company's IT Platform Services segment engages in the data center operation activities and construction of IT platforms and networks to the Financial IT and Industrial IT Solutions segments, as well as provides IT platform solutions and information security services to external clients. This segment is also involved in the research related to advance IT, etc. The company was founded in 1965 and is headquartered in Tokyo, Japan.