Comparing Timken (NYSE:TKR) and Dragonfly Energy (NASDAQ:DFLI)

Timken (NYSE:TKR) and Dragonfly Energy (NASDAQ:DFLI) are both computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, valuation, analyst recommendations, institutional ownership, risk, profitability and earnings.

Volatility and Risk

Timken has a beta of 1.31, meaning that its share price is 31% more volatile than the S&P 500. Comparatively, Dragonfly Energy has a beta of -0.22, meaning that its share price is 122% less volatile than the S&P 500.

Profitability

This table compares Timken and Dragonfly Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Timken	6.54%	11.88%	5.65%
Dragonfly Energy	-55.84%	N/A	-46.49%

Analyst Ratings

This is a summary of current ratings for Timken and Dragonfly Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Timken	0	8	4	0	2.33
Dragonfly Energy	1	1	1	1	2.50

Timken currently has a consensus price target of $82.20, indicating a potential upside of 4.68%. Dragonfly Energy has a consensus price target of $1.50, indicating a potential upside of 71.49%. Given Dragonfly Energy’s stronger consensus rating and higher possible upside, analysts plainly believe Dragonfly Energy is more favorable than Timken.

Earnings & Valuation

This table compares Timken and Dragonfly Energy”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Timken	$4.54 billion	1.20	$352.70 million	$4.23	18.56
Dragonfly Energy	$50.65 million	1.46	-$40.62 million	($3.89)	-0.22

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

Institutional & Insider Ownership

89.1% of Timken shares are owned by institutional investors. Comparatively, 8.2% of Dragonfly Energy shares are owned by institutional investors. 8.7% of Timken shares are owned by company insiders. Comparatively, 3.1% of Dragonfly Energy shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Timken beats Dragonfly Energy on 11 of the 15 factors compared between the two stocks.

About Timken

The Timken Company designs, manufactures, and sells engineered bearings and industrial motion products, and related services in the United States and internationally. The company's Engineered Bearings segment provides various bearing products, including tapered, spherical, and cylindrical roller bearings; plain bearings, metal-polymer bearings, and rod end bearings; radial, angular, and precision ball bearings; thrust and specialty ball bearings; journal bearings; and housed or mounted bearings. This segment serves wind energy, agriculture, construction, food and beverage, metals and mining, automotive and truck, aerospace, rail, and other industries under the Timken, GGB, and Fafnir brands. Its Industrial Motion segment offers a portfolio of engineered products comprising industrial drives, automatic lubrication systems, linear motion products and systems, chains, belts, seals, couplings, filtration systems, and industrial clutches and brakes. It also provides industrial drivetrain and bearing repairing services. This segment serves a range of industries, such as solar energy, automation, construction, agriculture and turf, passenger rail, marine, aerospace, packaging and logistics, medical, and others under the Philadelphia Gear, Cone Drive, Rollon, Nadella, Groeneveld, BEKA, Diamond, Drives, Timken Belts, Spinea, Des-Case, Lagersmit, Lovejoy, and PT Tech brands. The Timken Company was founded in 1899 and is headquartered in North Canton, Ohio.

About Dragonfly Energy

Dragonfly Energy Holdings Corp. engages in the manufacturing and sale of deep cycle lithium-ion batteries for recreational vehicles, marine vessels, solar and off-grid residence industries, and industrial and energy storage markets. The company provides lithium power systems comprising solar panels, chargers and inverters, system monitoring, alternator regulators, accessories, and others. It also offers battery management systems for monitoring and controlling of battery systems and to protect battery cells from damage in various scenarios. The company provides its products under the Dragonfly Energy, Battle Born, and Wakespeed brand names. Dragonfly Energy Holdings Corp. is headquartered in Reno, Nevada.