Head to Head Contrast: WisdomTree U.S. SmallCap Quality Dividend Growth Fund (NASDAQ:DGRS) and First Trust India NIFTY 50 Equal Weight ETF (NASDAQ:NFTY)

WisdomTree U.S. SmallCap Quality Dividend Growth Fund (NASDAQ:DGRS) and First Trust India NIFTY 50 Equal Weight ETF (NASDAQ:NFTY) are both small-cap manufacturing companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, valuation, institutional ownership, analyst recommendations, earnings, risk and dividends.

Profitability

This table compares WisdomTree U.S. SmallCap Quality Dividend Growth Fund and First Trust India NIFTY 50 Equal Weight ETF’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WisdomTree U.S. SmallCap Quality Dividend Growth Fund	N/A	N/A	N/A
First Trust India NIFTY 50 Equal Weight ETF	N/A	N/A	N/A

Volatility and Risk

WisdomTree U.S. SmallCap Quality Dividend Growth Fund has a beta of 1.12, suggesting that its stock price is 12% more volatile than the S&P 500. Comparatively, First Trust India NIFTY 50 Equal Weight ETF has a beta of 0.72, suggesting that its stock price is 28% less volatile than the S&P 500.

Valuation & Earnings

This table compares WisdomTree U.S. SmallCap Quality Dividend Growth Fund and First Trust India NIFTY 50 Equal Weight ETF’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WisdomTree U.S. SmallCap Quality Dividend Growth Fund	N/A	N/A	N/A	N/A	N/A
First Trust India NIFTY 50 Equal Weight ETF	N/A	N/A	N/A	N/A	N/A

Dividends

WisdomTree U.S. SmallCap Quality Dividend Growth Fund pays an annual dividend of $1.08 per share and has a dividend yield of 2.3%. First Trust India NIFTY 50 Equal Weight ETF pays an annual dividend of $0.09 per share and has a dividend yield of 0.2%. WisdomTree U.S. SmallCap Quality Dividend Growth Fund has raised its dividend for 1 consecutive years. WisdomTree U.S. SmallCap Quality Dividend Growth Fund is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for WisdomTree U.S. SmallCap Quality Dividend Growth Fund and First Trust India NIFTY 50 Equal Weight ETF, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WisdomTree U.S. SmallCap Quality Dividend Growth Fund	0	15	5	1	2.25
First Trust India NIFTY 50 Equal Weight ETF	0	0	0	0	0.00

Given WisdomTree U.S. SmallCap Quality Dividend Growth Fund’s stronger consensus rating and higher probable upside, research analysts clearly believe WisdomTree U.S. SmallCap Quality Dividend Growth Fund is more favorable than First Trust India NIFTY 50 Equal Weight ETF.

Summary

WisdomTree U.S. SmallCap Quality Dividend Growth Fund beats First Trust India NIFTY 50 Equal Weight ETF on 7 of the 8 factors compared between the two stocks.

About WisdomTree U.S. SmallCap Quality Dividend Growth Fund

The WisdomTree U.S. SmallCap Quality Dividend Growth Fund (DGRS) is an exchange-traded fund that mostly invests in small-cap stocks. The fund tracks a dividend-weighted index of US small-cap stocks with growth characteristics. DGRS was launched on Jul 25, 2013 and is managed by WisdomTree.

About First Trust India NIFTY 50 Equal Weight ETF

The First Trust India NIFTY 50 Equal Weight ETF (NFTY) is an exchange-traded fund that is based on the NIFTY 50 Equal Weight index. The fund tracks an equally weighted index of the 50 largest and most liquid Indian equity securities. NFTY was launched on Feb 14, 2012 and is managed by First Trust.