Comparing Kubota (KUBTY) & Its Peers

Kubota (OTCMKTS:KUBTY) is one of 436 public companies in the “Machinery” industry, but how does it weigh in compared to its rivals? We will compare Kubota to similar companies based on the strength of its profitability, valuation, risk, earnings, dividends, institutional ownership and analyst recommendations.

Profitability

This table compares Kubota and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kubota	8.17%	8.97%	4.22%
Kubota Competitors	-1,035.50%	-36.21%	-0.24%

Valuation and Earnings

This table compares Kubota and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Kubota	$20.19 billion	$1.25 billion	10.25
Kubota Competitors	$4.62 billion	$362.62 million	6.30

Kubota has higher revenue and earnings than its rivals. Kubota is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

0.4% of Kubota shares are held by institutional investors. Comparatively, 51.8% of shares of all “Machinery” companies are held by institutional investors. 0.0% of Kubota shares are held by company insiders. Comparatively, 14.1% of shares of all “Machinery” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Risk and Volatility

Kubota has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500. Comparatively, Kubota’s rivals have a beta of 5.12, meaning that their average share price is 412% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations for Kubota and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kubota	2	1	0	1	2.00
Kubota Competitors	4215	14731	18260	809	2.41

As a group, “Machinery” companies have a potential upside of 30.95%. Given Kubota’s rivals stronger consensus rating and higher possible upside, analysts clearly believe Kubota has less favorable growth aspects than its rivals.

Dividends

Kubota pays an annual dividend of $1.19 per share and has a dividend yield of 1.5%. Kubota pays out 15.8% of its earnings in the form of a dividend. As a group, “Machinery” companies pay a dividend yield of 2.8% and pay out 24.5% of their earnings in the form of a dividend.

Summary

Kubota beats its rivals on 8 of the 15 factors compared.

About Kubota

Kubota Corporation is a Japanese manufacturer of machinery and infrastructure products. Founded in Osaka in 1890, the company began by producing cast-iron water pipes and has since expanded into agriculture, construction, and environmental systems. Kubota’s products include tractors, combine harvesters, rice transplanters, farm implements, engines, and compact construction machinery. Its water and environmental businesses provide products and systems such as pipes, pumps, and water-treatment equipment.