Head-To-Head Analysis: Shimmick (NASDAQ:SHIM) versus China Railway Group (OTCMKTS:CRWOY)

China Railway Group (OTCMKTS:CRWOY) and Shimmick (NASDAQ:SHIM) are both construction companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, earnings, profitability, analyst recommendations, institutional ownership, valuation and dividends.

Analyst Ratings

This is a summary of recent ratings and price targets for China Railway Group and Shimmick, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
China Railway Group	0	0	0	0	N/A
Shimmick	0	3	0	0	2.00

Shimmick has a consensus target price of $3.00, suggesting a potential upside of 6.76%. Given Shimmick’s higher possible upside, analysts clearly believe Shimmick is more favorable than China Railway Group.

Valuation and Earnings

This table compares China Railway Group and Shimmick’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
China Railway Group	$123.12 billion	0.09	$3.43 billion	N/A	N/A
Shimmick	$524.16 million	0.17	-$2.55 million	N/A	N/A

China Railway Group has higher revenue and earnings than Shimmick.

Institutional and Insider Ownership

6.9% of Shimmick shares are owned by institutional investors. 77.0% of Shimmick shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares China Railway Group and Shimmick’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
China Railway Group	N/A	N/A	N/A
Shimmick	-12.90%	-134.28%	-14.83%

Summary

China Railway Group beats Shimmick on 5 of the 9 factors compared between the two stocks.

About China Railway Group

China Railway Group Limited, together with its subsidiaries, operates as an integrated construction company in the People's Republic of China, Hong Kong, and Macau. Its Infrastructure Construction segment constructs railways, highways, bridges, tunnels, metropolitan railways, buildings, irrigation works, hydroelectricity projects, ports, docks, airports, and other municipal works. The company's Survey, Design and Consulting Services segment provides survey, design, consulting, research and development, feasibility study, and compliance certification services to infrastructure construction projects. Its Engineering Equipment and Component Manufacturing segment designs, researches and develops, manufactures, and sells turnouts, bridge steel structures, and other railway related equipment, engineering machinery, and materials. The company's Property Development segment develops, sells, and manages residential and commercial properties. Its Other Businesses segment is involved in mining, financial, service concession arrangements operation, merchandise trading, and other ancillary businesses. China Railway Group Limited was founded in 1950 and is based in Beijing, China.

About Shimmick

Shimmick Corporation provides water and other critical infrastructure solutions in the United States. The company undertakes water and wastewater treatment infrastructure; water storage and conveyance, including dams, levees, flood control systems, pump stations, and coastal protection infrastructure; and mass transit, bridges, and military infrastructure projects. It serves federal, state, and local governments. The company was formerly known as SCCI National Holdings, Inc. and changed its name to Shimmick Corporation in September 2023. Shimmick Corporation was founded in 1990 and is headquartered in Irvine, California. Shimmick Corporation operates as a subsidiary of GOHO, LLC.