Ralliant and Roper Technologies: A Detailed Stock Comparison

Ralliant Corporation (NYSE: RAL) and Roper Technologies (NASDAQ: ROP) are two notable players in the manufacturing sector. Investors are keen to understand which stock presents a more advantageous opportunity. A comprehensive comparison evaluates their valuations, earnings, risks, dividends, institutional ownership, analyst recommendations, and overall profitability.

Earnings and Valuation Overview

A direct comparison of key financial metrics reveals significant differences between these companies. Roper Technologies leads with a gross revenue of $7.72 billion and a net income of $1.55 billion, translating to an earnings per share (EPS) of $14.51. In contrast, Ralliant currently reports a lack of available figures for gross revenue or net income, with an EPS of $1.27 and a price-to-earnings (P/E) ratio of 36.16. Roper Technologies, trading at a P/E ratio of 30.58, suggests it may be a more financially accessible investment at this time.

Analyst Ratings and Recommendations

Insights from MarketBeat.com show a clear preference among analysts for Roper Technologies. Ralliant has a consensus target price of $55.75, indicating an upside potential of 21.39%. Conversely, Roper Technologies boasts a more robust consensus target price of $579.54, reflecting a potential upside of 30.60%. The ratings, with Ralliant receiving 1 Sell, 6 Holds, and 4 Buys, yield a score of 2.27. Roper Technologies, on the other hand, achieves a score of 2.60 with 2 Sell, 3 Holds, and 9 Buys.

Profitability metrics further highlight Roper Technologies’ strength, boasting a net margin of 20.34%, along with a return on equity of 10.92% and a return on assets of 6.50%. In stark contrast, Ralliant reports no available data for these figures.

Institutional ownership also plays a critical role in stock evaluation. Approximately 93.3% of Roper Technologies shares are held by institutional investors, while only 0.8% of Ralliant shares are owned by insiders. High institutional ownership often reflects confidence in a company’s long-term growth potential.

Dividend Analysis

Both companies offer dividends, but Roper Technologies stands out in this category. Ralliant provides an annual dividend of $0.20 per share, yielding 0.4%. Roper Technologies, however, pays a more substantial annual dividend of $3.64 with a yield of 0.8%. Ralliant distributes 15.7% of its earnings as dividends, while Roper Technologies pays out 25.1%. Notably, Roper Technologies has increased its dividend for two consecutive years, indicating a solid commitment to returning value to shareholders.

In summary, Roper Technologies surpasses Ralliant in 13 of the 15 comparative factors analyzed. This comprehensive assessment underscores Roper’s superior performance across multiple financial metrics.

Ralliant Corporation specializes in precision technologies, focusing on designing, developing, and manufacturing precision instruments and engineered products from its base in Raleigh, North Carolina. Roper Technologies, based in Sarasota, Florida, provides a diverse range of technology-enabled products and solutions across various segments, including application software and network software.

Investors considering these companies should weigh the stronger financial metrics, analyst endorsements, and dividend offerings of Roper Technologies against Ralliant’s current standing in the market.