Hyster-Yale (NYSE:HY) and Lonking (OTCMKTS:LONKF) Financial Review

Lonking (OTCMKTS:LONKF) and Hyster-Yale (NYSE:HY) are both small-cap industrials companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.

Profitability

This table compares Lonking and Hyster-Yale’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lonking	N/A	N/A	N/A
Hyster-Yale	2.39%	23.11%	5.51%

Institutional and Insider Ownership

46.5% of Hyster-Yale shares are held by institutional investors. 33.9% of Hyster-Yale shares are held 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.

Earnings and Valuation

This table compares Lonking and Hyster-Yale”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lonking	$1.42 billion	0.72	$141.67 million	N/A	N/A
Hyster-Yale	$4.31 billion	0.16	$142.30 million	$5.61	6.89

Hyster-Yale has higher revenue and earnings than Lonking.

Risk and Volatility

Lonking has a beta of 0.03, meaning that its stock price is 97% less volatile than the S&P 500. Comparatively, Hyster-Yale has a beta of 1.51, meaning that its stock price is 51% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Lonking and Hyster-Yale, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lonking	0	0	0	0	0.00
Hyster-Yale	0	1	1	0	2.50

Hyster-Yale has a consensus price target of $70.00, suggesting a potential upside of 81.23%. Given Hyster-Yale’s stronger consensus rating and higher probable upside, analysts clearly believe Hyster-Yale is more favorable than Lonking.

Summary

Hyster-Yale beats Lonking on 11 of the 12 factors compared between the two stocks.

About Lonking

Lonking Holdings Limited, an investment holding company, manufactures and distributes wheel loaders, road rollers, excavators, forklifts, and other construction machinery in Mainland China. It operates through three segments: Sale of Construction Machinery, Finance Lease of Construction Machinery, and Financial Investment. The company also provides skid steer loaders; and diesel and electric forklifts. In addition, it offers components, such as axles, gear boxes, cylinders, gears, castings, and high-end hydraulic pumps and valves. Further, the company provides finance leasing for wheel loaders and other machinery. It also sells its products to approximately 40 countries in Mid and South America, Asia and Pacific area, Mid-East countries and Africa, and internationally. The company was founded in 1993 and is headquartered in Shanghai, the People's Republic of China.

About Hyster-Yale

Hyster-Yale, Inc., through its subsidiaries, designs, engineers, manufactures, sells, and services a line of lift trucks, attachments, and aftermarket parts worldwide. The company manufactures components, such as frames, masts, and transmissions; and assembles lift trucks. It markets its products primarily under the Hyster and Yale brand names to independent Hyster and Yale retail dealerships. The company also sells aftermarket parts under the Hyster and Yale, as well as UNISOURCE and PREMIER brands to Hyster and Yale dealers for the service of competitor lift trucks. In addition, it produces and distributes attachments, forks, and lift tables under the Bolzoni, Auramo, and Meyer brand names; and designs and produces products in the port equipment and rough terrain forklift markets. Further, the company designs, manufactures, and sells hydrogen fuel-cell stacks and engines. It serves light and heavy manufacturers, trucking and automotive companies, rental companies, building materials and paper suppliers, lumber, metal products, warehouses, retailers, food distributors, container handling companies, and U.S. and non-U.S. governmental agencies. The company was formerly known as Hyster-Yale Materials Handling, Inc. and changed its name to Hyster-Yale, Inc. in June 2024. Hyster-Yale, Inc. was incorporated in 1991 and is headquartered in Cleveland, Ohio.