Analyzing Vestas Wind Systems AS (OTCMKTS:VWDRY) and Schneider Electric (OTCMKTS:SBGSY)

Vestas Wind Systems AS (OTCMKTS:VWDRY) and Schneider Electric (OTCMKTS:SBGSY) are both large-cap industrials companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, risk, profitability and valuation.

Risk and Volatility

Vestas Wind Systems AS has a beta of 1.2, suggesting that its share price is 20% more volatile than the S&P 500. Comparatively, Schneider Electric has a beta of 1.42, suggesting that its share price is 42% more volatile than the S&P 500.

Valuation & Earnings

This table compares Vestas Wind Systems AS and Schneider Electric”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vestas Wind Systems AS	$18.72 billion	1.02	$539.97 million	$0.27	23.37
Schneider Electric	$41.29 billion	3.78	$4.62 billion	N/A	N/A

Schneider Electric has higher revenue and earnings than Vestas Wind Systems AS.

Profitability

This table compares Vestas Wind Systems AS and Schneider Electric’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vestas Wind Systems AS	4.08%	23.25%	3.06%
Schneider Electric	N/A	N/A	N/A

Dividends

Vestas Wind Systems AS pays an annual dividend of $0.02 per share and has a dividend yield of 0.3%. Schneider Electric pays an annual dividend of $0.36 per share and has a dividend yield of 0.7%. Vestas Wind Systems AS pays out 7.4% of its earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Vestas Wind Systems AS and Schneider Electric, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vestas Wind Systems AS	1	2	1	1	2.40
Schneider Electric	0	4	2	3	2.89

Institutional and Insider Ownership

0.8% of Schneider Electric shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Schneider Electric beats Vestas Wind Systems AS on 10 of the 13 factors compared between the two stocks.

About Vestas Wind Systems AS

Vestas Wind Systems A/S engages in the design, manufacture, installation, and services of wind turbines the United States, Denmark, and internationally. It operates in two segments, Power Solutions and Service. The Power Solutions segment offers onshore and offshore wind power plants, wind turbines, development sites, etc. The Service segment engages in the sale of service contracts, spare parts, and related activities. Vestas Wind Systems A/S was founded in 1898 and is headquartered in Aarhus, Denmark.

About Schneider Electric

Schneider Electric S.E. engages in the energy management and industrial automation businesses in the France, Western Europe, North America, the Asia Pacific, Eastern Europe, the Middle East, Africa, South America, and internationally. The company offers busway and cable management products, circuit breakers and switches, contactors and protection relays, electrical car charging, electrical protection and control products, energy management software solutions, load banks, power monitoring and control systems, power quality and power factor correction products, push buttons, switches, pilot lights and joysticks, surge protection and power conditioning services, switchboards and enclosures, and transfer switches. It also provides access control, controllers, expansion modules, servers and HMIs, fire and security products, sensors, valves and valve actuators, and variable speed and frequency drives; energy management and software solutions; feeder automation, grid automation, and SCADA software products; and medium voltage switchgears and transformers, outdoor equipment, substation automation products, and switchgear components. In addition, the company offers critical power and cooling services, data center cooling and software, IT power distribution products, prefabricated data center modules, racks and accessories, security and environmental monitoring, surge protection and power conditioning, and uninterruptible power supply products; and home automation and security, installation materials and systems, light switches, and electrical sockets. Further, the company provides human machine interface, industrial automation software and communication, interface relays, measurement and control relays, measurement and instrumentation products, motion controls and robotics, signaling units, solar and energy storage, power supplies, power protection and transformers, process control and safety, RFID systems, and other industrial automation and control products, as well as PLC, PAC, and dedicated controllers. Schneider Electric S.E.was founded in 1836 and is headquartered in Rueil-Malmaison, France.