Financial Survey: Dalrada Financial (OTCMKTS:DFCO) versus Willdan Group (NASDAQ:WLDN)

Dalrada Financial (OTCMKTS:DFCO) and Willdan Group (NASDAQ:WLDN) are both small-cap business services companies, but which is the superior investment? We will contrast the two businesses based on the strength of their analyst recommendations, risk, valuation, dividends, earnings, profitability and institutional ownership.

Volatility and Risk

Dalrada Financial has a beta of 0.99, indicating that its share price is 1% less volatile than the S&P 500. Comparatively, Willdan Group has a beta of 1.31, indicating that its share price is 31% more volatile than the S&P 500.

Profitability

This table compares Dalrada Financial and Willdan Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Dalrada Financial	-157.80%	N/A	-125.04%
Willdan Group	5.60%	18.60%	9.65%

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Dalrada Financial and Willdan Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dalrada Financial	0	0	0	0	0.00
Willdan Group	0	0	2	0	3.00

Willdan Group has a consensus price target of $111.50, suggesting a potential downside of 1.34%. Given Willdan Group’s stronger consensus rating and higher possible upside, analysts clearly believe Willdan Group is more favorable than Dalrada Financial.

Earnings & Valuation

This table compares Dalrada Financial and Willdan Group”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Dalrada Financial	$25.18 million	0.42	-$28.95 million	($0.30)	-0.29
Willdan Group	$565.80 million	2.93	$22.57 million	$2.39	47.28

Willdan Group has higher revenue and earnings than Dalrada Financial. Dalrada Financial is trading at a lower price-to-earnings ratio than Willdan Group, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

72.3% of Willdan Group shares are owned by institutional investors. 7.1% of Dalrada Financial shares are owned by insiders. Comparatively, 8.6% of Willdan Group shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Willdan Group beats Dalrada Financial on 14 of the 14 factors compared between the two stocks.

About Dalrada Financial

Dalrada Financial Corporation, together with its subsidiaries, operates as a technology and manufacturing company. It operates through Genefic, Dalrada Energy Services, Dalrada Precision Manufacturing, and Dalrada Technologies divisions. The Genefic division processes molecular diagnostic and antibody tests to support the diagnosis of COVID-19 and the detection of immune response to the virus; markets and sells traditional biologics and human cells, tissues, and cellular and tissue-based products; and provides prescription management, education, nursing, and total health solutions; distributes alcohol-free hand sanitizers, surface cleaners, laundry aides, antimicrobial solutions, electrostatic sprayers, face masks, gloves, and kits, as well as dispensers, stands, and ease of use packaging for the end consumers. It also manages and oversees wellness and rejuvenation clinics throughout Southern California that offers regenerative therapies, IV and injection services, cosmetic enhancements, and other health centric services; and provides trained nursing and medical assistants for hospitals and home health facilities, as well as pharmacy services. The Dalrada Energy Services division offers energy service solutions and general contracting services. The Dalrada Precision Manufacturing division engages in developing heat pump technology solution for the harvesting and recycling of energy; and manufactures and sells deep cleaners, parts washers, and degreasers to lift hydrocarbon-based dirt and grease from surfaces. It also designs, develops, manufactures, and services chemical and physical vapor deposition systems for the microchip and semiconductor industries. The Dalrada Technologies division provides software and technology solutions specialize in test engineering, accessibility engineering, product engineering, and application modernization. The company was incorporated in 1982 and is headquartered in Escondido, California.

About Willdan Group

Willdan Group, Inc., together with its subsidiaries, provides professional, technical, and consulting services primarily in the United States. It operates in two segments, Energy, and Engineering and Consulting. The Energy segment offers comprehensive audit and surveys, program design and implementation, master planning, demand reduction, grid optimization, benchmarking analyses, design engineering, construction management, performance contracting, installation, alternative financing, measurement and verification services, and software and data analytics, as well as energy consulting and engineering, turnkey facility and infrastructure projects, and customer support services. The Engineering and Consulting segment provides building and safety, city engineering and code enforcement, development plan review and inspection, disaster recovery, geotechnical and earthquake engineering, planning and surveying, contract staff support, program and construction management, structural engineering, transportation and traffic engineering, and water resources services. This segment also offers district administration, financial consulting, and federal compliance services. It serves public and governmental agencies, including cities, counties, redevelopment agencies, water districts, school districts, and universities; investor and municipal owned energy utilities; state and federal agencies; and commercial and industrial firms, as well as various other special districts and agencies. The company was founded in 1964 and is headquartered in Anaheim, California.