Which Company would you put your All In? JELD-WEN Holding, Inc. (JELD) or Aptiv PLC (APTV)

The shares of JELD-WEN Holding, Inc. (NYSE:JELD) and Aptiv PLC (NYSE:APTV) were among the active stocks of the last trading sessions. JELD-WEN Holding, Inc. (NYSE:JELD) soared to 5.29% closing at the price of $17.9 whereas the shares of Aptiv PLC (NYSE:APTV) declined -0.86% with the decrease of -0.67 points closing at the price of $77.68. JELD-WEN Holding, Inc. has currently decrease -37.63% in its stock over the period of 6-months while its rival Aptiv PLC subtracted -19.27% in the previous 6-months.

Now we have to analyze the facts that if the stocks were worthy off investors’ money? The facts to analyze here are risks, profitability, returns and price trends.

Returns and Profitability

Profitability and returns are the main reason of investment, the investors are looking for profits that they get and return they should expect over the period of time.

The first and foremost return that is considered while making an investment is the ROI or Return on Investment. The ROI is the ratio between the profit against the cost of investment. Currently the ROI of JELD-WEN Holding, Inc. (NYSE:JELD) is 9.1% while the ROI of Aptiv PLC (NYSE:APTV) is 16.4%. Another figure that is to be considered while analyzing the profitability of a share is its EBITDA margin, JELD’s EBITDA Margin is 8.66 whereas APTV’s is 10.54.

Both the profitability ratios suggest that Aptiv PLC (NYSE:APTV) is more suitable investment in terms of profitability and return.

EPS & Surprise Factor

JELD-WEN Holding, Inc. (NYSE:JELD) reported $0.4/share EPS for the previous quarter where analysts were predicting an EPS to be $0.52/share Thus lagging the analyst Estimates with a Surprise Factor of -23.1 Percent. While, Aptiv PLC (NYSE:APTV) reported EPS of $1.24/share in the last quarter. The analysts projected EPS of $1.2/share depicting a Surprise of 3.3 Percent.

Taking a look at Earnings per Share, Aptiv PLC tends to be beating the analyst estimates more than JELD-WEN Holding, Inc.. so APTV is more profitable than JELD.

Technical Analysis of JELD-WEN Holding, Inc. & Aptiv PLC

Moving average convergence divergence (MACD) shows that JELD-WEN Holding, Inc. (NYSE:JELD) is on a PRICE RELATIVITY trend While Aptiv PLC (NYSE:APTV) is on PRICE RELATIVITY trend. The trend for the past 10-days shows that the JELD-WEN Holding, Inc. was in BULLISH territory and Aptiv PLC was in BULLISH territory.

JELD’s current statistics gauge that the stock candle is BULLISH with HIGH volatility. While APTV’s candle is BULLISH with MEDIUM.

EPS Growth Rate: JELD’s 19.85% versus APTV’s 13.37%

Another shareholder value can be analyzed through the EPS growth rate; the next 5 years EPS growth rate is predicted by the analysts after the analyzing the previous trends. The next 5 year EPS growth rate of JELD-WEN Holding, Inc. (NYSE:JELD) is predicted at 19.85% while Aptiv PLC (NYSE:APTV) stands at 13.37%. These numbers suggest that JELD is more suitable investment in terms of EPS growth rate.

Financial Risk and Liquidity Concerns

The current ratio and the debt ratio are the two ratios that show the investor how quickly the company is able to payout its debt and how quickly it can cover its obligations. The current ratio of JELD stands at 2 while APTV is at 1.5 whereas the debt ratio of the prior is 1.95 while the debt ratio of the later is 1.14.

The values of the both ratios suggest that JELD is more suitable investment when the liquidity and risk is the main concern.

Analyst Recommendations

While making an investment, another main factor to consider before investing is the analyst recommendation on the scale of 1 to 5 where 1 is strong buy, 2 is buy, 3 is hold, 4 is Sell and 5 is strong sell. Analyst recommend 2.6 for JELD and 1.9 for APTV which means JELD has Hold rating whereas APTV has Buy rating.

Another recommendation of analyst that is to be considered worthy is the price target. The mare price or price trend does not suggest the suitability of a stock. The price target set by analyst is also to be considered while investing as it suggests to what extent the stock will rise or fall in the near future. The price target set for JELD is $22.71 which is 21.18% of its current price while APTV has price target of 99.05 which is 21.57% of its current price.

Valuation Ratios

Valuation is the process of determining the company’s worth for an investor, the valuation ratios give an insight to that worthiness.

JELD currently has price to earning P/E ratio of 14.76 whereas APTV has 19.65 while the forward P/E ratio for the prior stands at 8.71 and for the later it depicts the value of 13.78.

The price to Book P/B for JELD is 2.39, Price to Sale is at 0.46 and for APTV these ratios stand at 5.7 and 1.44.