Head to Head Survey: Ferrovial (NASDAQ:FER) & Next (OTCMKTS:NXCLF)

Next (OTCMKTS:NXCLF) and Ferrovial (NASDAQ:FER) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, risk, valuation, institutional ownership, profitability, analyst recommendations and dividends.

Profitability

This table compares Next and Ferrovial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Next	21.21%	11.14%	7.30%
Ferrovial	N/A	N/A	N/A

Insider and Institutional Ownership

22.3% of Ferrovial shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Next and Ferrovial”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Next	$188.62 million	1.03	$35.62 million	$0.09	16.90
Ferrovial	$10.89 billion	4.52	$1.00 billion	N/A	N/A

Ferrovial has higher revenue and earnings than Next.

Analyst Recommendations

This is a summary of current ratings for Next and Ferrovial, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Next	0	0	0	0	0.00
Ferrovial	0	4	3	0	2.43

Ferrovial has a consensus target price of $73.12, suggesting a potential upside of 9.09%. Given Ferrovial’s stronger consensus rating and higher probable upside, analysts clearly believe Ferrovial is more favorable than Next.

Volatility and Risk

Next has a beta of -0.21, meaning that its share price is 121% less volatile than the S&P 500. Comparatively, Ferrovial has a beta of 0.6, meaning that its share price is 40% less volatile than the S&P 500.

Summary

Ferrovial beats Next on 8 of the 11 factors compared between the two stocks.

About Next

LIFULL Co.,Ltd. provides real estate information services in Japan and internationally. It offers LIFULL HOME'S, a site of real estate and housing information; LIFULL Revitalize Rural Japan that suggests new lifestyles to people in Japan based on the refurbishment of abandoned houses; LIFULL Move, which provides rankings and reviews of moving companies; LIFULL Nursing Care, a special care facility searching web service; and LIFULL Investment, a money lending website. The company also provides LIFULL FaM that enables working mothers balance childcare with work while pursuing a career; LIFULL Storage, a storage space searching web service; LIFULL HUB, a shared office; LIFULL Fab for design and craftsmanship; and LIFULL Table, a gallery and open space for photography, exhibitions, press releases, and workshops. In addition, it offers LivingAnywhere Commons, a community to live; instant house products; Trovit, an aggregation website providing information on items, including real estate and housing, used cars, recruitment, and mail orders; and Mitula, a site that provides information in real estate and housing, used cars, recruitment, and fashion. The company was formerly known as NEXT Co., Ltd. and changed its name to LIFULL Co.,Ltd. in April 2017. LIFULL Co.,Ltd. was founded in 1995 and is headquartered in Tokyo, Japan.

About Ferrovial

Ferrovial SE, together with its subsidiaries, engages in the design, construction, financing, operation, and maintenance of transport infrastructure and urban services internationally. It operates through four segments: Construction, Toll Roads, Airports, and Energy Infrastructures and Mobility. The company designs and executes various public and private works, including the construction of public infrastructure; and develops, finances, and operates toll roads. It also develops, finances, and operates airports; and develops, finances, and operates power transmission lines and renewable energy generation plants, as well as offers mobility and waste management plants and services to the mining industry in Chile. In addition, the company promotes, constructs, and operates energy generation and transmission infrastructures. The company was founded in 1952 and is based in Amsterdam, the Netherlands.