MasTec (NYSE:MTZ – Get Free Report) and Great Lakes Dredge & Dock (NASDAQ:GLDD – Get Free Report) are both construction companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, earnings, risk, dividends, valuation, analyst recommendations and profitability.
Institutional & Insider Ownership
78.1% of MasTec shares are owned by institutional investors. Comparatively, 89.1% of Great Lakes Dredge & Dock shares are owned by institutional investors. 21.3% of MasTec shares are owned by insiders. Comparatively, 2.2% of Great Lakes Dredge & Dock shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Analyst Ratings
This is a breakdown of recent recommendations for MasTec and Great Lakes Dredge & Dock, as reported by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
MasTec | 0 | 2 | 14 | 2 | 3.00 |
Great Lakes Dredge & Dock | 0 | 0 | 1 | 0 | 3.00 |
Profitability
This table compares MasTec and Great Lakes Dredge & Dock’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
MasTec | 1.72% | 11.65% | 3.80% |
Great Lakes Dredge & Dock | 8.63% | 15.72% | 5.85% |
Volatility & Risk
MasTec has a beta of 1.75, indicating that its stock price is 75% more volatile than the S&P 500. Comparatively, Great Lakes Dredge & Dock has a beta of 1.3, indicating that its stock price is 30% more volatile than the S&P 500.
Valuation and Earnings
This table compares MasTec and Great Lakes Dredge & Dock”s top-line revenue, earnings per share (EPS) and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
MasTec | $12.30 billion | 1.13 | $162.79 million | $2.72 | 65.06 |
Great Lakes Dredge & Dock | $762.69 million | 1.01 | $57.26 million | $1.02 | 11.14 |
MasTec has higher revenue and earnings than Great Lakes Dredge & Dock. Great Lakes Dredge & Dock is trading at a lower price-to-earnings ratio than MasTec, indicating that it is currently the more affordable of the two stocks.
Summary
MasTec beats Great Lakes Dredge & Dock on 9 of the 14 factors compared between the two stocks.
About MasTec
MasTec, Inc., an infrastructure construction company, provides engineering, building, installation, maintenance, and upgrade services for communications, energy, utility, and other infrastructure primarily in the United States and Canada. It operates through five segments: Communications, Clean Energy and Infrastructure, Oil and Gas, Power Delivery, and Other. The company build infrastructure for wireless and wireline/fiber communications; clean energy infrastructure comprising renewable energy power generation; pipeline infrastructure, including natural gas, water, carbon capture sequestration, and other product transport; power delivery services, such as electrical and gas transmission, and distribution systems; industrial and heavy civil infrastructure, including roads, bridges, and rail; and water infrastructure. It also installs electrical and other gas distribution and transmission systems, power generation, power generation, civil and industrial facilities, pipelines, and fiber optic and other cables, as well as install-to-the-home services. In addition, the company offers maintenance and upgrade support services comprising maintenance of customers' distribution facilities, networks, and infrastructure, including communications, power generation, pipeline, electrical distribution and transmission, and civil and industrial and heavy civil infrastructure; service restoration for natural disasters and accidents; and routine replacements and upgrades to overhauls. Its customers include wireless and wireline/fiber service providers, broadband operators, install-to-the-home service providers, public and private energy providers, including renewable and other energy providers, pipeline operators, civil and industrial infrastructure providers, and government entities. MasTec, Inc. was founded in 1929 and is headquartered in Coral Gables, Florida.
About Great Lakes Dredge & Dock
Great Lakes Dredge & Dock Corp. engages in the provision of dredging services. Its projects include channel and port maintenance, channel deepening and port expansion, coastal protection and restoration, as well as land reclamation. The company was founded by William A. Lydon and Frederick C. Drews in 1890 and is headquartered in Houston, TX.
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