Comparing Moog (NYSE:MOG.A) and Bae Systems (OTCMKTS:BAESY)

Bae Systems (OTCMKTS:BAESY) and Moog (NYSE:MOG.A) are both large-cap aerospace companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, valuation, risk, profitability, dividends, earnings and analyst recommendations.

Volatility & Risk

Bae Systems has a beta of -0.07, suggesting that its stock price is 107% less volatile than the S&P 500. Comparatively, Moog has a beta of 0.96, suggesting that its stock price is 4% less volatile than the S&P 500.

Dividends

Bae Systems pays an annual dividend of $2.39 per share and has a dividend yield of 2.4%. Moog pays an annual dividend of $1.20 per share and has a dividend yield of 0.3%. Moog pays out 13.5% of its earnings in the form of a dividend.

Earnings & Valuation

This table compares Bae Systems and Moog”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bae Systems	$37.36 billion	2.03	$2.72 billion	N/A	N/A
Moog	$3.86 billion	3.22	$235.03 million	$8.89	44.16

Bae Systems has higher revenue and earnings than Moog.

Institutional & Insider Ownership

0.2% of Bae Systems shares are owned by institutional investors. Comparatively, 88.0% of Moog shares are owned by institutional investors. 1.5% of Moog shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Bae Systems and Moog’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bae Systems	N/A	N/A	N/A
Moog	6.83%	16.11%	7.15%

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Bae Systems and Moog, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bae Systems	0	3	3	0	2.50
Moog	0	0	1	1	3.50

Moog has a consensus price target of $450.00, suggesting a potential upside of 14.63%. Given Moog’s stronger consensus rating and higher probable upside, analysts clearly believe Moog is more favorable than Bae Systems.

Summary

Moog beats Bae Systems on 10 of the 15 factors compared between the two stocks.

About Bae Systems

BAE Systems plc provides defense, aerospace, and security solutions worldwide. The company operates through five segments: Electronic Systems, Platforms & Services, Air, Maritime, and Cyber & Intelligence. The Electronic Systems segment offers electronic warfare systems, navigation systems, electro-optical sensors, military and commercial digital engine and flight controls, precision guidance and seeker solutions, military communication systems and data links, persistent surveillance capabilities, space electronics, and electric drive propulsion systems. The Cyber & Intelligence segment provides solutions to modernize, maintain, and test cyber-harden aircraft, radars, missile systems, and mission applications that detect and deter threats to national security; systems engineering, integration, and sustainment services for critical weapons systems, C5ISR, and cyber security; and solutions and services to intelligence and federal/civilian agencies. It also offers data intelligence solutions to protect nations, businesses, and citizens. The Platforms & Services segment manufactures, and upgrades combat vehicles, weapons, and munitions, as well as provides naval ship repair services and the management of government-owned ammunition plants. The Air segment develops future combat air systems and falconworks. The Maritime segment provides maritime and land activities, including submarine, ship build, and support programmes. BAE Systems plc was founded in 1970 and is headquartered in Camberley, the United Kingdom.

About Moog

Moog Inc. designs, manufactures, and integrates precision motion and fluid controls and controls systems for original equipment manufacturers and end users in the aerospace, defense, and industrial markets worldwide. The company's Aircrafts Controls segment offers primary and secondary flight controls for military and commercial aircrafts; aftermarket support services; and ground-based navigation aids. Its Space and Defense Controls segment provides controls for satellites, space vehicles, launch vehicles, armored combat vehicles, tactical and strategic missiles, security and surveillance, and other defense applications; and gun aiming, stabilization, and automatic ammunition loading for armored combat vehicles. This segment also offers controls for steering tactical and strategic missiles, and naval surface ships and submarines; and weapons stores management systems for light attack aerial reconnaissance, ground, and sea platforms, as well as slip rings, fiber optic rotary joints, and motors. The company's Industrial Systems segment provides components and systems for applications in injection and blow molding machinery, metal forming presses, and heavy industry customers in steel and aluminum production; supplies electromechanical motion simulation bases for the flight simulation and training applications; and supplies solutions for power generation applications, as well as custom test systems and controls for automotive, structural, and fatigue testing. This segment also offers systems and components for applications in oil and gas exploration and production; components for wind turbine applications; components and systems for diagnostic imaging CT scan medical equipment, sleep apnea equipment, oxygen concentrators, infusion therapy, and enteral clinical nutrition; and hydraulics, slip rings, rotary unions and fiber optic rotary joints, motors, and infusion and enteral pumps. The company was founded in 1951 and is headquartered in East Aurora, New York.