Rocket Lab (NASDAQ:RKLB) vs. Optex Systems (NASDAQ:OPXS) Head-To-Head Analysis

Rocket Lab (NASDAQ:RKLB) and Optex Systems (NASDAQ:OPXS) are both aerospace companies, but which is the superior business? We will compare the two companies based on the strength of their risk, analyst recommendations, valuation, profitability, earnings, institutional ownership and dividends.

Risk & Volatility

Rocket Lab has a beta of 2.17, suggesting that its stock price is 117% more volatile than the S&P 500. Comparatively, Optex Systems has a beta of 0.39, suggesting that its stock price is 61% less volatile than the S&P 500.

Profitability

This table compares Rocket Lab and Optex Systems’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rocket Lab	-45.87%	-48.14%	-17.98%
Optex Systems	13.01%	24.67%	19.20%

Earnings and Valuation

This table compares Rocket Lab and Optex Systems”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rocket Lab	$436.21 million	50.37	-$190.18 million	($0.45)	-101.87
Optex Systems	$33.99 million	2.35	$3.77 million	$0.75	15.43

Optex Systems has lower revenue, but higher earnings than Rocket Lab. Rocket Lab is trading at a lower price-to-earnings ratio than Optex Systems, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Rocket Lab and Optex Systems, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rocket Lab	0	5	7	1	2.69
Optex Systems	0	0	0	0	0.00

Rocket Lab currently has a consensus price target of $42.27, suggesting a potential downside of 7.78%. Given Rocket Lab’s stronger consensus rating and higher possible upside, analysts plainly believe Rocket Lab is more favorable than Optex Systems.

Institutional & Insider Ownership

71.8% of Rocket Lab shares are owned by institutional investors. Comparatively, 19.1% of Optex Systems shares are owned by institutional investors. 11.9% of Rocket Lab shares are owned by company insiders. Comparatively, 30.3% of Optex Systems shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Rocket Lab beats Optex Systems on 8 of the 15 factors compared between the two stocks.

About Rocket Lab

Rocket Lab USA, Inc., a space company, provides launch services and space systems solutions for the space and defense industries. The company provides launch services, spacecraft design services, spacecraft components, spacecraft manufacturing, and other spacecraft and on-orbit management solutions; and constellation management services, as well as designs and manufactures small and medium-class rockets. It also designs, manufactures, and sells Electron, a reusable orbital-class small rocket; and the Photon satellite platforms, as well as developing the Neutron 8-ton payload class launch vehicle; conducts remote launch activities; and designs and manufactures a range of components and subsystems for the Photon family of spacecraft and broader merchant spacecraft components. The company serves commercial, aerospace prime contractors, and government customers. Rocket Lab USA, Inc. was founded in 2006 and is headquartered in Long Beach, California.

About Optex Systems

Optex Systems Holdings, Inc manufactures and sells optical sighting systems and assemblies primarily for the U.S. department of defense, foreign military applications, and commercial markets in the United States. It offers periscopes, such as laser and non-laser protected plastic and glass periscopes, electronic M17 day/thermal periscopes, and vision blocks; sighting systems, including back up sights, digital day and night sighting systems, M36 thermal periscope, unity mirrors, optical weapon system support and maintenance, commander weapon station sights, and sight assembly refurbishments; howitzers comprising M137 telescope, M187 mount, M119 aiming device, XM10 and aiming circles; and applied optics center consisting of laser interference filter, optical assemblies, laser filter units, day windows, and specialty thin film coatings, as well as other products, such as muzzle reference systems, binoculars, collimators, optical lenses and elements, and windows. The company also provides various periscope configurations, rifle and surveillance sights, and night vision optical assemblies. Its products are installed on various types of U.S. military land vehicles, such as the Abrams, Bradley, and Stryker families of fighting vehicles, as well as light armored and armored security vehicles. The company offers its products directly to the federal government, prime contractors, and foreign governments. Optex Systems Holdings, Inc was founded in 1987 and is headquartered in Richardson, Texas. Optex Systems Holdings, Inc is a subsidiary of Sileas Corporation.