Deere & Company (NYSE:DE) and Lonking (OTCMKTS:LKHLY) Critical Survey

Deere & Company (NYSE:DE) and Lonking (OTCMKTS:LKHLY) are both industrial products companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, analyst recommendations, risk, dividends, institutional ownership and profitability.

Earnings and Valuation

This table compares Deere & Company and Lonking”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Deere & Company	$61.25 billion	1.79	$10.17 billion	$29.31	13.66
Lonking	N/A	N/A	N/A	N/A	N/A

Deere & Company has higher revenue and earnings than Lonking.

Profitability

This table compares Deere & Company and Lonking’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Deere & Company	14.69%	36.71%	7.85%
Lonking	N/A	N/A	N/A

Analyst Ratings

This is a summary of current ratings and recommmendations for Deere & Company and Lonking, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Deere & Company	0	12	8	0	2.40
Lonking	0	0	0	0	N/A

Deere & Company currently has a consensus price target of $420.69, suggesting a potential upside of 5.09%. Given Deere & Company’s higher probable upside, equities research analysts plainly believe Deere & Company is more favorable than Lonking.

Insider and Institutional Ownership

68.6% of Deere & Company shares are held by institutional investors. 0.3% of Deere & Company shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Deere & Company beats Lonking on 8 of the 8 factors compared between the two stocks.

About Deere & Company

Deere & Company engages in the manufacture and distribution of various equipment worldwide. The company operates through four segments: Production and Precision Agriculture, Small Agriculture and Turf, Construction and Forestry, and Financial Services. The Production and Precision Agriculture segment provides large and medium tractors, combines, cotton pickers and strippers, sugarcane harvesters and loaders, harvesting front-end equipment, pull-behind scrapers, and tillage and seeding equipment, as well as application equipment, including sprayers and nutrient management, and soil preparation machinery for grain growers. The Small Agriculture and Turf segment offers utility tractors, and related loaders and attachments; turf and utility equipment, including riding lawn equipment, commercial mowing equipment, golf course equipment, and utility vehicles, as well as implements for mowing, tilling, snow and debris handling, aerating, residential, commercial, golf, and sports turf care applications; other outdoor power products; and hay and forage equipment. This segment also resells products from other manufacturers. It serves dairy and livestock producers, crop producers, and turf and utility customers. The Construction and Forestry segment provides a range of backhoe loaders, crawler dozers and loaders, four-wheel-drive loaders, excavators, motor graders, articulated dump trucks, landscape and skid-steer loaders, milling machines, pavers, compactors, rollers, crushers, screens, asphalt plants, log skidders, log feller bunchers, log loaders and forwarders, log harvesters, and attachments; and roadbuilding equipment. The Financial Services segment finances sales and leases agriculture and turf, and construction and forestry equipment. It also offers wholesale financing to dealers of the foregoing equipment; and extended equipment warranties, as well as finances retail revolving charge accounts. The company was founded in 1837 and is headquartered in Moline, Illinois.

About Lonking

Lonking Holdings Limited, an investment holding company, manufactures and distributes wheel loaders, road rollers, excavators, forklifts, and other construction machinery in Mainland China and internationally. It operates through three segments: Sale of Construction Machinery, Finance Lease of Construction Machinery, and Financial Investment. The company also provides skid steer loaders; and diesel and electric forklifts. In addition, it offers components, such as axles, gear boxes, cylinders, gears, castings and forgings, and high-end hydraulic pumps and valves. Further, the company provides finance leasing for wheel loaders and other machinery. The company was founded in 1993 and is headquartered in Shanghai, the People's Republic of China.