Financial Contrast: Teledyne Technologies (NYSE:TDY) and EHang (NASDAQ:EH)

EHang (NASDAQ:EH) and Teledyne Technologies (NYSE:TDY) are both aerospace companies, but which is the superior investment? We will compare the two businesses based on the strength of their risk, valuation, analyst recommendations, profitability, earnings, dividends and institutional ownership.

Profitability

This table compares EHang and Teledyne Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
EHang	-54.40%	-26.36%	-15.09%
Teledyne Technologies	13.62%	9.95%	6.73%

Valuation & Earnings

This table compares EHang and Teledyne Technologies”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EHang	$62.49 million	19.01	-$31.48 million	($0.50)	-33.04
Teledyne Technologies	$6.01 billion	4.01	$819.20 million	$17.27	29.67

Teledyne Technologies has higher revenue and earnings than EHang. EHang is trading at a lower price-to-earnings ratio than Teledyne Technologies, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

EHang has a beta of 1.11, suggesting that its stock price is 11% more volatile than the S&P 500. Comparatively, Teledyne Technologies has a beta of 1.12, suggesting that its stock price is 12% more volatile than the S&P 500.

Institutional and Insider Ownership

94.0% of EHang shares are held by institutional investors. Comparatively, 91.6% of Teledyne Technologies shares are held by institutional investors. 39.6% of EHang shares are held by company insiders. Comparatively, 1.5% of Teledyne Technologies shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings for EHang and Teledyne Technologies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EHang	1	0	7	1	2.89
Teledyne Technologies	0	2	6	0	2.75

EHang currently has a consensus target price of $26.08, suggesting a potential upside of 57.87%. Teledyne Technologies has a consensus target price of $606.29, suggesting a potential upside of 18.32%. Given EHang’s stronger consensus rating and higher possible upside, equities research analysts clearly believe EHang is more favorable than Teledyne Technologies.

Summary

Teledyne Technologies beats EHang on 8 of the 15 factors compared between the two stocks.

About EHang

EHang Holdings Limited operates as an autonomous aerial vehicle (AAV) technology platform company in the People's Republic of China, East Asia, West Asia, Europe, and internationally. It designs, develops, manufactures, sells, and operates AAVs, as well as their supporting systems and infrastructure for various industries and applications, including passenger transportation, logistics, smart city management, and aerial media solutions. The company was incorporated in 2014 and is headquartered in Guangzhou, the People's Republic of China.

About Teledyne Technologies

Teledyne Technologies Incorporated, together with its subsidiaries, provides enabling technologies for industrial growth markets in the United States and internationally. Its Digital Imaging segment provides visible spectrum sensors and digital cameras; and infrared, ultraviolet, visible, and X-ray spectra; as well as micro electromechanical systems and semiconductors, including analog-to-digital and digital-to-analog converters. This segment also offers cooled and uncooled infrared or thermal products, including sensors, camera cores, and camera systems; high-resolution, low-dose X-ray sensors, high-power microwave, and high-energy X-ray subsystems; and instruments for the measurement of physical properties and maritime products; as well as develops and manufactures multi-spectrum electro-optic/infrared imaging systems and associated products, such as lasers, optics, and radars, CBRNE (Chemical, Biological, Radiological, Nuclear and Explosive detectors), and unmanned air and ground systems. The company's Instrumentation segment offers monitoring, control, and electronic test and measurement equipment; and power and communications connectivity devices for distributed instrumentation systems and sensor networks. The company's Aerospace and Defense Electronics segment provides electronic components and subsystems, data acquisition and communications components and equipment, harsh environment interconnects, general aviation batteries, and other components; and onboard avionics systems and ground-based applications, aircraft data and connectivity solutions, hardware systems, and software applications. Its Engineered Systems segment offers systems engineering and integration, technology development, and manufacturing solutions for defense, space, environmental, and energy applications; and designs and manufactures electrochemical energy systems and electronics for military applications. The company was founded in 1960 and is headquartered in Thousand Oaks, California.