Standex International Corporation (SXI) vs. Key Technology (KTEC) Head to Head Review

Standex International Corporation (NYSE: SXI) and Key Technology (NASDAQ:KTEC) are both small-cap industrial products companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, valuation, profitabiliy and risk.

Risk & Volatility

Standex International Corporation has a beta of 1.53, suggesting that its stock price is 53% more volatile than the S&P 500. Comparatively, Key Technology has a beta of 1.05, suggesting that its stock price is 5% more volatile than the S&P 500.

Profitability

This table compares Standex International Corporation and Key Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Standex International Corporation	6.01%	14.88%	7.66%
Key Technology	2.58%	5.36%	3.38%

Valuation and Earnings

This table compares Standex International Corporation and Key Technology’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	EBITDA	Earnings Per Share	Price/Earnings Ratio
Standex International Corporation	$731.94 million	1.67	$95.03 million	$3.44	27.89
Key Technology	$121.45 million	0.76	$7.10 million	$0.52	27.50

Standex International Corporation has higher revenue and earnings than Key Technology. Key Technology is trading at a lower price-to-earnings ratio than Standex International Corporation, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

89.7% of Standex International Corporation shares are held by institutional investors. Comparatively, 44.9% of Key Technology shares are held by institutional investors. 2.1% of Standex International Corporation shares are held by company insiders. Comparatively, 29.4% of Key Technology shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Dividends

Standex International Corporation pays an annual dividend of $0.64 per share and has a dividend yield of 0.7%. Key Technology does not pay a dividend. Standex International Corporation pays out 18.6% of its earnings in the form of a dividend. Standex International Corporation has increased its dividend for 7 consecutive years.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Standex International Corporation and Key Technology, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Standex International Corporation	0	1	2	0	2.67
Key Technology	0	0	0	0	N/A

Standex International Corporation currently has a consensus target price of $115.00, indicating a potential upside of 19.85%. Given Standex International Corporation’s higher probable upside, equities analysts clearly believe Standex International Corporation is more favorable than Key Technology.

Summary

Standex International Corporation beats Key Technology on 13 of the 16 factors compared between the two stocks.

Standex International Corporation Company Profile

Standex International Corporation is a diversified manufacturing company. The Company is a manufacturer of a range of products and services for diverse commercial and industrial market segments. The Company has 11 operating segments, aggregated and organized into five segments: Food Service Equipment, Engraving, Engineering Technologies, Electronics and Hydraulics. The Food Service Equipment business consists of Refrigeration Solutions group, Cooking Solutions group and Specialty Solutions group. The Engraving segment’s product lines include Mold-Tech and Innovent. The Engineering Technologies segment provides engineered parts in all workable metal alloys using various forming processes. The Electronics segment is a manufacturer of custom magnetic sensing and power conversion components and assemblies. The Hydraulics segment is a manufacturer of mobile hydraulic cylinders, including single or double acting telescopic, and piston rod hydraulic cylinders.

Key Technology Company Profile

Key Technology, Inc. is a supplier of process automation solutions to the food processing industry and other industries, such as tobacco and pharmaceuticals. The Company designs, manufactures, sells and services automation equipment that processes product streams of discrete pieces. These systems integrate electro-optical automated inspection and digital sorting systems with other processing systems that include specialized conveying and preparation equipment. The Company provides parts and service for each of its product lines to customers around the world. Its automated inspection systems are used in various applications to detect and remove defects and foreign material from the product stream. It offers conveying and processing equipment, which are utilized throughout various industries to move and process product within a production plant. Its Integrated Solutions Group (ISG) provides integrated whole-line solutions. It has an installed base of inspection and processing systems.