Head to Head Survey: Vinci (OTCMKTS:VCISY) & Granite Construction (NYSE:GVA)

Granite Construction (NYSE:GVA) and Vinci (OTCMKTS:VCISY) are both construction companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, dividends, earnings, profitability, analyst recommendations, valuation and risk.

Institutional & Insider Ownership

0.4% of Vinci shares are owned by institutional investors. 0.8% of Granite Construction shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Granite Construction and Vinci, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Granite Construction	1	0	0	0	1.00
Vinci	0	0	0	0	0.00

Granite Construction presently has a consensus price target of $76.00, indicating a potential downside of 20.00%. Given Granite Construction’s stronger consensus rating and higher probable upside, research analysts clearly believe Granite Construction is more favorable than Vinci.

Earnings and Valuation

This table compares Granite Construction and Vinci”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Granite Construction	$4.01 billion	1.04	$126.35 million	$2.40	39.58
Vinci	$78.42 billion	1.08	$5.26 billion	N/A	N/A

Vinci has higher revenue and earnings than Granite Construction.

Profitability

This table compares Granite Construction and Vinci’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Granite Construction	3.07%	21.40%	7.48%
Vinci	N/A	N/A	N/A

Dividends

Granite Construction pays an annual dividend of $0.52 per share and has a dividend yield of 0.5%. Vinci pays an annual dividend of $1.43 per share and has a dividend yield of 3.9%. Granite Construction pays out 21.7% of its earnings in the form of a dividend.

Volatility & Risk

Granite Construction has a beta of 1.32, indicating that its stock price is 32% more volatile than the S&P 500. Comparatively, Vinci has a beta of 0.86, indicating that its stock price is 14% less volatile than the S&P 500.

Summary

Granite Construction beats Vinci on 7 of the 13 factors compared between the two stocks.

About Granite Construction

Granite Construction Incorporated operates as an infrastructure contractor in the United States. It operates through two segments: Construction and Materials segments. The Construction segment engages in the construction and rehabilitation of roads, pavement preservation, bridges, rail lines, airports, marine ports, dams, reservoirs, aqueducts, infrastructure, and site development for use by the public and water-related construction for municipal agencies, commercial water suppliers, industrial facilities, and energy companies; and construction of various complex projects, including infrastructure/site development, mining, public safety, tunnel, solar storage, and power related projects. The Materials segment is involved in the production of aggregates, asphalt concrete, liquid asphalt, and recycled materials production for internal use in our construction projects and sale to third parties. It also offers site preparation, mining, and infrastructure services for residential development, energy development, commercial and industrial sites, railways, residential development, and energy development; and provides construction management professional services. It serves federal agencies, state departments of transportation, local transit authorities, county and city public works departments, school districts and developers, utilities, contractors, landscapers, manufacturers of products requiring aggregate materials, retailers, homeowners, farmers, brokers, and private owners of industrial, commercial, and residential sites. Granite Construction Incorporated was incorporated in 1922 and is headquartered in Watsonville, California.

About Vinci

Vinci SA, together with its subsidiaries, engages in concessions, energy, and construction businesses in France and internationally. The Concessions segment manages motorway concessions; operates airports; and highways, railways, and stadium. Its Energy segment provides services to the manufacturing sector, infrastructure, facilities management, and information and communication technology; and industrial and energy-related services, which includes development of renewable energy assets, as well as engineering, procurement, and construction projects in the energy sector. The Construction segment engages in designing and carrying out projects, which includes general contractor; geotechnical and structural engineering and related digital activities, as well as provision of services in nuclear engineering; proximity networks with active local companies, such as building, civil engineering, roadworks, rail works, and water works; property development, including residential and commercial properties; and management of serviced residences and property services. Vinci SA was founded in 1899 and is headquartered in Nanterre, France.