Methode Electronics (MEI) Competitors

Methode Electronics (NYSE:MEI) and Benchmark Electronics (NYSE:BHE) are both small-cap computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, media sentiment, community ranking, dividends, earnings, risk, analyst recommendations, valuation and institutional ownership.

Is MEI or BHE a better dividend stock?

Methode Electronics pays an annual dividend of $0.56 per share and has a dividend yield of 4.6%. Benchmark Electronics pays an annual dividend of $0.68 per share and has a dividend yield of 1.5%. Methode Electronics pays out -22.1% of its earnings in the form of a dividend. Benchmark Electronics pays out 39.5% 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. Methode Electronics is clearly the better dividend stock, given its higher yield and lower payout ratio.

Is MEI or BHE more profitable?

Benchmark Electronics has a net margin of 2.32% compared to Methode Electronics' net margin of -8.16%. Benchmark Electronics' return on equity of 6.81% beat Methode Electronics' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Methode Electronics	-8.16%	-3.26%	-1.78%
Benchmark Electronics	2.32%	6.81%	3.38%

Do insiders & institutionals believe in MEI or BHE?

95.5% of Methode Electronics shares are held by institutional investors. Comparatively, 92.3% of Benchmark Electronics shares are held by institutional investors. 1.4% of Methode Electronics shares are held by insiders. Comparatively, 2.1% of Benchmark Electronics shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Does the MarketBeat Community favor MEI or BHE?

Methode Electronics received 194 more outperform votes than Benchmark Electronics when rated by MarketBeat users. Likewise, 62.47% of users gave Methode Electronics an outperform vote while only 58.81% of users gave Benchmark Electronics an outperform vote.

Company	Underperform	Outperform
Methode Electronics	Outperform Votes 491 62.47%	Underperform Votes 295 37.53%
Benchmark Electronics	Outperform Votes 297 58.81%	Underperform Votes 208 41.19%

Which has preferable earnings and valuation, MEI or BHE?

Benchmark Electronics has higher revenue and earnings than Methode Electronics. Methode Electronics is trading at a lower price-to-earnings ratio than Benchmark Electronics, 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
Methode Electronics	$1.09B	0.40	-$123.30M	-$2.53	-4.80
Benchmark Electronics	$2.69B	0.60	$64.32M	$1.72	26.28

Does the media favor MEI or BHE?

In the previous week, Methode Electronics had 2 more articles in the media than Benchmark Electronics. MarketBeat recorded 3 mentions for Methode Electronics and 1 mentions for Benchmark Electronics. Benchmark Electronics' average media sentiment score of 1.66 beat Methode Electronics' score of 0.84 indicating that Benchmark Electronics is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Methode Electronics	2 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Benchmark Electronics	1 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Very Positive

Do analysts rate MEI or BHE?

Methode Electronics currently has a consensus target price of $15.00, suggesting a potential upside of 23.46%. Benchmark Electronics has a consensus target price of $42.33, suggesting a potential downside of 6.36%. Given Methode Electronics' higher probable upside, analysts plainly believe Methode Electronics is more favorable than Benchmark Electronics.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Methode Electronics	0 Sell rating(s)	3 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00
Benchmark Electronics	0 Sell rating(s)	2 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.50

Which has more risk & volatility, MEI or BHE?

Methode Electronics has a beta of 0.81, meaning that its share price is 19% less volatile than the S&P 500. Comparatively, Benchmark Electronics has a beta of 0.99, meaning that its share price is 1% less volatile than the S&P 500.

Summary

Benchmark Electronics beats Methode Electronics on 13 of the 20 factors compared between the two stocks.