Head-To-Head Analysis: CVD Equipment (NASDAQ:CVV) vs. Otis Worldwide (NYSE:OTIS)

CVD Equipment (NASDAQ:CVV) and Otis Worldwide (NYSE:OTIS) are both industrials companies, but which is the superior investment? We will compare the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, earnings, profitability, dividends and valuation.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for CVD Equipment and Otis Worldwide, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CVD Equipment	1	0	0	0	1.00
Otis Worldwide	1	6	3	0	2.20

Otis Worldwide has a consensus price target of $104.63, suggesting a potential upside of 15.43%. Given Otis Worldwide’s stronger consensus rating and higher probable upside, analysts clearly believe Otis Worldwide is more favorable than CVD Equipment.

Volatility & Risk

CVD Equipment has a beta of 0.87, suggesting that its share price is 13% less volatile than the S&P 500. Comparatively, Otis Worldwide has a beta of 1, suggesting that its share price has a similar volatility profile to the S&P 500.

Valuation and Earnings

This table compares CVD Equipment and Otis Worldwide”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CVD Equipment	$26.88 million	0.99	-$1.90 million	($0.05)	-77.60
Otis Worldwide	$14.26 billion	2.49	$1.65 billion	$3.78	23.98

Otis Worldwide has higher revenue and earnings than CVD Equipment. CVD Equipment is trading at a lower price-to-earnings ratio than Otis Worldwide, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

31.6% of CVD Equipment shares are held by institutional investors. Comparatively, 88.0% of Otis Worldwide shares are held by institutional investors. 28.7% of CVD Equipment shares are held by insiders. Comparatively, 0.2% of Otis Worldwide shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares CVD Equipment and Otis Worldwide’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CVD Equipment	-1.27%	-1.44%	-1.18%
Otis Worldwide	10.68%	-30.95%	14.27%

Summary

Otis Worldwide beats CVD Equipment on 12 of the 14 factors compared between the two stocks.

About CVD Equipment

CVD Equipment Corporation, together with its subsidiaries, designs, develops, manufactures, and sells equipment to develop and manufacture materials and coatings in the United States and internationally. It operates through three segments: CVD Equipment, Stainless Design Concepts, and CVD Materials. The CVD Equipment segment offers chemical vapor deposition, physical vapor transport, and thermal process equipment under the FirstNano brand for various markets, such as high power electronics, aerospace advanced materials for gas turbine jet engines, and nanomaterials used in batteries, as well as semiconductors, LEDs, carbon nanotubes, nanowires, solar cells, and other industrial and research applications. The Stainless Design Concepts segment provides ultra-high purity gas and chemical delivery control systems, including gas cylinder storage cabinets, custom gas and chemical delivery systems, gas and liquid valve manifold boxes, and gas isolation boxes for semiconductor fabrication processes, aerospace, solar cells, LEDs, carbon nanotubes, nanowires, and industrial applications. The CVD Materials segment offers products related to advanced materials and coatings, such as MesoPlasma printing services and products comprising heaters, antennas, and sensors to aerospace, satellite, power generation, defense, and other markets. The company also provides annealing, diffusion, and low pressure chemical vapor deposition furnaces; and standard and custom fabricated quartz-ware used in its equipment and other customer tools. The company was incorporated in 1982 and is headquartered in Central Islip, New York.

About Otis Worldwide

Otis Worldwide Corporation engages in manufacturing, installation, and servicing of elevators and escalators in the United States, China, and internationally. The company operates in two segments, New Equipment and Service. The New Equipment segment designs, manufactures, sells, and installs a range of passenger and freight elevators, as well as escalators and moving walkways for residential and commercial buildings, and infrastructure projects. This segment serves real-estate and building developers, and general contractors. It sells its products directly to customers, as well as through agents and distributors. The Service segment performs maintenance and repair services, as well as modernization services to upgrade elevators and escalators. Otis Worldwide Corporation was founded in 1853 and is headquartered in Farmington, Connecticut.