Financial Contrast: Crane (NYSE:CR) vs. Crane NXT (NYSE:CXT)

Crane NXT (NYSE:CXT – Get Rating) and Crane (NYSE:CR – Get Rating) are both mid-cap business services companies, but which is the superior investment? We will contrast the two businesses based on the strength of their dividends, risk, earnings, institutional ownership, profitability, valuation and analyst recommendations.

Institutional and Insider Ownership

70.8% of Crane NXT shares are held by institutional investors. Comparatively, 70.8% of Crane shares are held by institutional investors. 2.0% of Crane NXT shares are held by company insiders. Comparatively, 2.4% of Crane shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Crane NXT and Crane, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Crane NXT	0	0	1	0	3.00
Crane	0	1	3	0	2.75

Crane NXT currently has a consensus price target of $72.00, indicating a potential upside of 35.26%. Crane has a consensus price target of $106.00, indicating a potential upside of 42.05%. Given Crane’s higher probable upside, analysts clearly believe Crane is more favorable than Crane NXT.

Volatility and Risk

Crane NXT has a beta of 1.49, indicating that its share price is 49% more volatile than the S&P 500. Comparatively, Crane has a beta of 1.49, indicating that its share price is 49% more volatile than the S&P 500.

Dividends

Crane NXT pays an annual dividend of $1.88 per share and has a dividend yield of 3.5%. Crane pays an annual dividend of $0.72 per share and has a dividend yield of 1.0%. Crane NXT pays out 28.9% of its earnings in the form of a dividend. Crane pays out 9.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Crane has increased its dividend for 1 consecutive years.

Profitability

This table compares Crane NXT and Crane’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Crane NXT	13.12%	20.86%	9.01%
Crane	13.10%	24.45%	10.14%

Valuation and Earnings

This table compares Crane NXT and Crane’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Crane NXT	$3.37 billion	0.89	$401.10 million	$6.50	8.19
Crane	$3.35 billion	1.27	$401.10 million	$7.55	9.88

Crane NXT is trading at a lower price-to-earnings ratio than Crane, indicating that it is currently the more affordable of the two stocks.

Summary

Crane beats Crane NXT on 11 of the 15 factors compared between the two stocks.

About Crane NXT

(Get Rating)

Crane NXT Co. engages in the management of a subsidiary, which manufactures aerospace equipment, electronics systems, and flow control systems. The company was founded on December 2, 2021 and is headquartered in Stamford, CT.

About Crane

(Get Rating)

Crane Holdings Co. engages in the management of a subsidiary, which manufacture aerospace equipment, electronics systems, and flow control systems. The company was founded on December 2, 2021 and is headquartered in Stamford, CT.