Head-To-Head Review: Richtech Robotics (NASDAQ:RR) & Taylor Devices (NASDAQ:TAYD)

Taylor Devices (NASDAQ:TAYD) and Richtech Robotics (NASDAQ:RR) are both small-cap industrials companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, valuation, institutional ownership, analyst recommendations, earnings, profitability and dividends.

Institutional & Insider Ownership

17.6% of Taylor Devices shares are held by institutional investors. Comparatively, 0.0% of Richtech Robotics shares are held by institutional investors. 7.8% of Taylor Devices shares are held by insiders. Comparatively, 41.3% of Richtech Robotics shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Taylor Devices and Richtech Robotics”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Taylor Devices	$44.49 million	2.24	$9.00 million	$2.68	11.83
Richtech Robotics	$4.39 million	57.67	-$8.14 million	($0.13)	-17.38

Taylor Devices has higher revenue and earnings than Richtech Robotics. Richtech Robotics is trading at a lower price-to-earnings ratio than Taylor Devices, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Taylor Devices has a beta of 1.05, suggesting that its stock price is 5% more volatile than the S&P 500. Comparatively, Richtech Robotics has a beta of -7.94, suggesting that its stock price is 894% less volatile than the S&P 500.

Profitability

This table compares Taylor Devices and Richtech Robotics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Taylor Devices	19.99%	17.04%	14.66%
Richtech Robotics	-203.60%	-32.24%	-29.63%

Analyst Recommendations

This is a summary of recent ratings and price targets for Taylor Devices and Richtech Robotics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Taylor Devices	0	0	0	0	0.00
Richtech Robotics	0	0	1	0	3.00

Richtech Robotics has a consensus target price of $3.00, suggesting a potential upside of 32.74%. Given Richtech Robotics’ stronger consensus rating and higher probable upside, analysts clearly believe Richtech Robotics is more favorable than Taylor Devices.

Summary

Taylor Devices beats Richtech Robotics on 9 of the 14 factors compared between the two stocks.

About Taylor Devices

Taylor Devices, Inc. engages in design, development, manufacture, and marketing of shock absorption, rate control, and energy storage devices for use in machinery, equipment, and structures in the United States, Asia, and internationally. Its products include seismic dampers that are designed to mitigate the effects of earthquakes on structures; Fluidicshoks, which are compact shock absorbers primarily used in defense, aerospace, and commercial industries; and crane and industrial buffers, which are larger versions of the Fluidicshoks for industrial application on cranes and crane trolleys, truck docks, ladle and ingot cars, ore trolleys, and train car stops. The company's products also comprise self-adjusting shock absorbers that include versions of Fluidicshoks, and crane and industrial buffers, which automatically adjust to various impact conditions and are designed for high cycle application primarily in the heavy industry; liquid die springs that are used as component parts of machinery and equipment used in the manufacture of tools and dies; vibration dampers, which are primarily used by aerospace and defense industries to control the response of electronics and optical systems subjected to air, ship, or spacecraft vibration; machined springs used in the aerospace applications; and custom actuators for special aerospace and defense applications. It markets its products through a network of sales representatives and distributors. The company was incorporated in 1955 and is headquartered in North Tonawanda, New York.

About Richtech Robotics

Richtech Robotics Inc. develops, manufactures, deploys, and sells robotic solutions for automation in the service industry. The company offers indoor transport and delivery, sanitation, and food and beverage automation solutions, such as ADAM and ARM worker robots; delivery robots, including Matradee, Matradee X, Matradee L, Richie, and Robbie; and cleaning robots comprising DUST-E SX, and DUST-E MX, as well as accessories, such as bus tubs, cup holders, magnetic tray cases, smartwatches, table location systems, and tray covers. It primarily serves restaurants, hotels, casinos, senior living centers, factories, and retail centers, as well as hospitals, and movie theaters. The company was formerly known as Richtech Creative Displays LLC and changed its name to Richtech Robotics Inc. on June 22, 2022. Richtech Robotics Inc. was incorporated in 2016 and is headquartered in Las Vegas, Nevada.