Head-To-Head Review: Indra Sistemas (OTCMKTS:ISMAY) and Nitori (OTC:NCLTY)

Risk and Volatility

Indra Sistemas has a beta of 0.98, meaning that its share price is 2% less volatile than the S&P 500. Comparatively, Nitori has a beta of 0.88, meaning that its share price is 12% less volatile than the S&P 500.

Valuation & Earnings

This table compares Indra Sistemas and Nitori”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Indra Sistemas	$4.70 billion	N/A	$222.68 million	$0.75	11.76
Nitori	$6.21 billion	N/A	$597.01 million	$0.53	21.11

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

Profitability

This table compares Indra Sistemas and Nitori’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Indra Sistemas	5.17%	21.12%	5.15%
Nitori	9.61%	10.91%	8.03%

Dividends

Indra Sistemas pays an annual dividend of $0.10 per share and has a dividend yield of 1.1%. Nitori pays an annual dividend of $0.06 per share and has a dividend yield of 0.5%. Indra Sistemas pays out 13.3% of its earnings in the form of a dividend. Nitori pays out 11.3% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Summary

Nitori beats Indra Sistemas on 6 of the 10 factors compared between the two stocks.

About Indra Sistemas

Indra Sistemas, S.A. operates as a technology and consulting company for aerospace, defense, and mobility business worldwide. The company operates through four segments: Defence, Air Traffic, Mobility, and Minsait. It offers Mova Consulting for planing and designing transport infrastructures; Mova Collect for ticketing, tolling, and back office applications; Mova Traffic for building traffic management and control solutions; Mova Protect for protection of businesses and people; Mova Experience; Mova Comms for connecting the transportation ecosystem with personalized communication solutions; Mova Care that provides infrastructure operation and maintenance, technology operation and maintenance, and transportation services operation and maintenance; and In-Mova Space, a technological mobility and infrastructure management platform. The company also provides Indra Air Automation; Indra Air Communication; Indra Air Navigation; Indra Air Surveillance; Indra Air Drones; Indra Air Information; and Indra Air Services for air traffic applications. In addition, the company offers defence and security solutions, including Platforms, defence systems, security, cyberdefence, space technologies applied to military operations, military and civilian training solutions, and logistics and maintenance services; and other technological solutions for public administration, industry and consumption, financial services, energy, and telco and media sectors. Indra Sistemas, S.A. was founded in 1921 and is based in Alcobendas, Spain.

About Nitori

Nitori Holdings Co., Ltd. engages in the retail of furniture and interior products in Japan. It is involved in the advertising; logistics; and other activities. The company engages in insurance and clothing related businesses. Nitori Holdings Co., Ltd. was founded in 1967 and is headquartered in Tokyo, Japan.