Head-To-Head Survey: Titan International (NYSE:TWI) & Art’s-Way Manufacturing (NASDAQ:ARTW)

Titan International (NYSE:TWI) and Art’s-Way Manufacturing (NASDAQ:ARTW) are both small-cap industrials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their profitability, risk, dividends, valuation, analyst recommendations, earnings and institutional ownership.

Analyst Ratings

This is a summary of recent ratings and price targets for Titan International and Art’s-Way Manufacturing, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Titan International	0	0	3	0	3.00
Art’s-Way Manufacturing	0	0	0	0	0.00

Titan International currently has a consensus target price of $11.33, indicating a potential upside of 24.68%. Given Titan International’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Titan International is more favorable than Art’s-Way Manufacturing.

Earnings & Valuation

This table compares Titan International and Art’s-Way Manufacturing”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Titan International	$1.85 billion	0.31	-$5.56 million	($0.21)	-43.29
Art’s-Way Manufacturing	$24.50 million	0.66	$310,000.00	N/A	N/A

Art’s-Way Manufacturing has lower revenue, but higher earnings than Titan International.

Profitability

This table compares Titan International and Art’s-Way Manufacturing’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Titan International	-0.83%	-0.05%	-0.02%
Art’s-Way Manufacturing	9.61%	4.94%	2.80%

Risk & Volatility

Titan International has a beta of 2.03, indicating that its share price is 103% more volatile than the S&P 500. Comparatively, Art’s-Way Manufacturing has a beta of 0.71, indicating that its share price is 29% less volatile than the S&P 500.

Insider and Institutional Ownership

80.4% of Titan International shares are owned by institutional investors. Comparatively, 2.9% of Art’s-Way Manufacturing shares are owned by institutional investors. 25.0% of Titan International shares are owned by insiders. Comparatively, 52.8% of Art’s-Way Manufacturing shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

About Titan International

Titan International, Inc., together with its subsidiaries, manufactures and sells wheels, tires, and undercarriage systems and components for off-highway vehicles in the United States and internationally. The company operates in Agricultural, Earthmoving/Construction, and Consumer segments. It offers wheels, tires, and undercarriage systems and components for various agricultural equipment, including tractors, combines, skidders, plows, planters, and irrigation equipment. The company also offers wheels, tires, and undercarriage systems and components for off-the-road earthmoving, mining, military, construction, and forestry equipment, including skid steers, aerial lifts, cranes, graders and levelers, scrapers, self-propelled shovel loaders, articulated dump trucks, load transporters, haul trucks, backhoe loaders, crawler tractors, lattice cranes, shovels, and hydraulic excavators. In addition, it provides bias and light truck tires; and products for ATVs, rock climbers, and turf applications, as well as specialty products and train brakes. It sells its products directly to original equipment manufacturers, as well as to the aftermarket through independent distributors, equipment dealers, and its distribution centers. Titan International, Inc. was founded in 1890 and is headquartered in West Chicago, Illinois.

About Art’s-Way Manufacturing

Art’s-Way Manufacturing Co., Inc. manufactures and distributes farm equipment products. It operates through the Agricultural Products, and Modular Buildings segments. The Agricultural Products segment manufactures a variety of specialized farm machinery under its own label including portable and stationary animal feed processing equipment and related attachments used to mill and mix feed grains into custom animal feed rations, a line of forage equipment consisting of forage boxes, bale processors, running gear, and dump boxes, a line of manure spreaders, sugar beet harvesting equipment, and a line of dirt work equipment. The Modular Buildings segment produces and sells modular buildings, which are custom designed to meet the specific research needs of its customers. It also provides services relating to the design, manufacturing, delivery, installation and renting of the building units that it produces. The company was founded by Arthur Luscombe in 1956 and is headquartered in Armstrong, IA.