Reviewing Rogers (NYSE:ROG) and Orbit International (OTCMKTS:ORBT)

Orbit International (OTCMKTS:ORBT) and Rogers (NYSE:ROG) are both small-cap computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their profitability, analyst recommendations, dividends, risk, earnings, valuation and institutional ownership.

Insider & Institutional Ownership

96.0% of Rogers shares are held by institutional investors. 11.3% of Orbit International shares are held by company insiders. Comparatively, 0.9% of Rogers shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Orbit International and Rogers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Orbit International	0	0	0	0	0.00
Rogers	1	1	2	0	2.25

Rogers has a consensus target price of $109.00, suggesting a potential downside of 1.58%. Given Rogers’ stronger consensus rating and higher probable upside, analysts clearly believe Rogers is more favorable than Orbit International.

Earnings & Valuation

This table compares Orbit International and Rogers”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Orbit International	$29.90 million	0.63	-$650,000.00	($1.38)	-3.88
Rogers	$810.80 million	2.44	-$61.80 million	($3.34)	-33.16

Orbit International has higher earnings, but lower revenue than Rogers. Rogers is trading at a lower price-to-earnings ratio than Orbit International, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Orbit International has a beta of 0.1, meaning that its stock price is 90% less volatile than the S&P 500. Comparatively, Rogers has a beta of 0.36, meaning that its stock price is 64% less volatile than the S&P 500.

Profitability

This table compares Orbit International and Rogers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Orbit International	-18.70%	-29.85%	-19.72%
Rogers	-7.62%	3.56%	2.97%

Summary

Rogers beats Orbit International on 10 of the 14 factors compared between the two stocks.

About Orbit International

Orbit International Corp. engages in the design, manufacture, and sale of electronic components and subsystems, and commercial and custom power units for prime contractors, government procurement agencies, and research and development laboratories worldwide. The company operates in two segments, Electronics Group and Power Group. The Electronics Group segment designs, manufactures, and sells customized electronic components and subsystems. This segment offers remote control units, intercommunication panels, displays, keyboards, keypads and pointing devices, operator control trays, and command display units, as well as provides LCD display modules, military simulation and training bezels, electronic control assemblies, and multi-function displays design and enhancement services. The Power Group segment designs and manufactures commercial power units, AC power, frequency converters, uninterruptible power supplies, armament systems, and commercial-off-the-shelf power solutions, as well as inverters. The company was formerly known as Orbit Instrument Corp. and changed its name to Orbit International Corp. in July 1991. Orbit International Corp. was founded in 1957 and is based in Hauppauge, New York.

About Rogers

Rogers Corporation engages in the design, development, manufacture, and sale of engineered materials and components worldwide. It operates through Advanced Electronics Solutions (AES), Elastomeric Material Solutions (EMS), and Other segments. The AES segment offers circuit materials, ceramic substrate materials, busbars, and cooling solutions for applications in electric and hybrid electric vehicles (EV/HEV), wireless infrastructure, automotive, renewable energy, aerospace and defense, mass transit, industrial, connected devices, and wired infrastructure. This segment sells its products under the curamik, ROLINX, RO4000, RO3000, RT/duroid, CLTE Series, TMM, AD Series, DiClad, CuClad Series, Kappa, COOLSPAN, TC Series, IsoClad, MAGTREX, IM, 2929 Bondply, SpeedWave Prepreg, RO4400/RO4400T, and Radix names. The EMS segment provides engineered material solutions, including polyurethane and silicone materials used in cushioning, gasketing, sealing, and vibration management applications; customized silicones used in flex heater and semiconductor thermal applications; and polytetrafluoroethylene and ultra-high molecular weight polyethylene materials used in wire and cable protection, electrical insulation, conduction and shielding, hose and belt protection, vibration management, cushioning, gasketing and sealing, and venting applications. This segment sells its products under the PORON, BISCO, DeWAL, ARLON, eSorba, XRD, Silicone Engineering, and R/bak names. The Other segment provides elastomer components; and elastomer floats for level sensing in fuel tanks, motors, and storage tanks for applications in the general industrial and automotive markets under the ENDUR and NITROPHYL names. The company was founded in 1832 and is headquartered in Chandler, Arizona.