Novanta (NOVT) Competitors

Novanta (NASDAQ:NOVT) and Regal Rexnord (NYSE:RRX) are both mid-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, valuation, analyst recommendations, risk, media sentiment, earnings, dividends, community ranking and institutional ownership.

Is NOVT or RRX more profitable?

Novanta has a net margin of 6.52% compared to Regal Rexnord's net margin of 3.25%. Novanta's return on equity of 15.20% beat Regal Rexnord's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Novanta	6.52%	15.20%	7.80%
Regal Rexnord	3.25%	9.57%	4.17%

Do insiders and institutionals hold more shares of NOVT or RRX?

98.4% of Novanta shares are held by institutional investors. Comparatively, 99.7% of Regal Rexnord shares are held by institutional investors. 1.2% of Novanta shares are held by company insiders. Comparatively, 0.8% of Regal Rexnord shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Which has more volatility and risk, NOVT or RRX?

Novanta has a beta of 1.28, indicating that its share price is 28% more volatile than the S&P 500. Comparatively, Regal Rexnord has a beta of 1.03, indicating that its share price is 3% more volatile than the S&P 500.

Which has preferable earnings and valuation, NOVT or RRX?

Regal Rexnord has higher revenue and earnings than Novanta. Regal Rexnord is trading at a lower price-to-earnings ratio than Novanta, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Novanta	$881.66M	5.72	$72.88M	$1.67	84.14
Regal Rexnord	$6.03B	1.48	$196.20M	$2.95	45.59

Do analysts rate NOVT or RRX?

Novanta presently has a consensus target price of $169.00, suggesting a potential upside of 20.28%. Regal Rexnord has a consensus target price of $197.75, suggesting a potential upside of 47.02%. Given Regal Rexnord's stronger consensus rating and higher probable upside, analysts clearly believe Regal Rexnord is more favorable than Novanta.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Novanta	0 Sell rating(s)	1 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00
Regal Rexnord	0 Sell rating(s)	1 Hold rating(s)	8 Buy rating(s)	0 Strong Buy rating(s)	2.89

Does the MarketBeat Community favor NOVT or RRX?

Novanta received 250 more outperform votes than Regal Rexnord when rated by MarketBeat users. Likewise, 71.80% of users gave Novanta an outperform vote while only 63.10% of users gave Regal Rexnord an outperform vote.

Company	Underperform	Outperform
Novanta	Outperform Votes 303 71.80%	Underperform Votes 119 28.20%
Regal Rexnord	Outperform Votes 53 63.10%	Underperform Votes 31 36.90%

Does the media prefer NOVT or RRX?

In the previous week, Regal Rexnord had 8 more articles in the media than Novanta. MarketBeat recorded 13 mentions for Regal Rexnord and 5 mentions for Novanta. Regal Rexnord's average media sentiment score of 0.22 beat Novanta's score of 0.16 indicating that Regal Rexnord is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Novanta	1 Very Positive mention(s)	0 Positive mention(s)	3 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Neutral
Regal Rexnord	5 Very Positive mention(s)	3 Positive mention(s)	2 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Neutral

Summary

Novanta and Regal Rexnord tied by winning 9 of the 18 factors compared between the two stocks.