Critical Review: KONE Oyj (OTCMKTS:KNYJY) vs. RF Acquisition (NASDAQ:RFAC)

KONE Oyj (OTCMKTS:KNYJY) and RF Acquisition (NASDAQ:RFAC) are both industrial products companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, earnings, risk, dividends, analyst recommendations, institutional ownership and valuation.

Profitability

This table compares KONE Oyj and RF Acquisition’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KONE Oyj	8.98%	39.77%	11.49%
RF Acquisition	N/A	N/A	N/A

Institutional and Insider Ownership

36.5% of RF Acquisition shares are held by institutional investors. 49.4% of RF Acquisition shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for KONE Oyj and RF Acquisition, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KONE Oyj	1	0	0	0	1.00
RF Acquisition	0	0	0	0	0.00

Valuation & Earnings

This table compares KONE Oyj and RF Acquisition”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
KONE Oyj	$11.85 billion	2.19	$1.00 billion	$1.03	23.83
RF Acquisition	N/A	N/A	N/A	N/A	N/A

KONE Oyj has higher revenue and earnings than RF Acquisition.

Volatility and Risk

KONE Oyj has a beta of 0.68, suggesting that its share price is 32% less volatile than the S&P 500. Comparatively, RF Acquisition has a beta of 0.03, suggesting that its share price is 97% less volatile than the S&P 500.

Summary

KONE Oyj beats RF Acquisition on 6 of the 8 factors compared between the two stocks.

About KONE Oyj

KONE Oyj, together with its subsidiaries, engages in the elevator and escalator business worldwide. The company provides elevators, escalators, and automatic building doors. It offers maintenance services; and modernization solutions. In addition, the company offers KONE Office Flow, a connected solution that allows for personalized user experiences and touch-free access; health and well-being solutions for elevators, escalators, and doors; KONE Access, an access control system, which is integrated with elevator system and building doors; KONE Destination, a destination control system that reduce waiting and travel times; KONE infotainment, a communication channel for building tenants and visitors; and monitoring solutions that enable real-time inspection of elevators and escalators. Further, it provides people flow planning and consulting services; solutions for special buildings and large projects; cybersecurity solutions; and energy solutions for greener buildings. KONE Oyj was founded in 1908 and is based in Espoo, Finland.

About RF Acquisition

RF Acquisition Corp. does not have significant operations. It intends to effect a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or similar business combination with one or more businesses in financial services, media, technology, retail, interpersonal communication, transportation, and education sectors. The company was incorporated in 2021 and is based in Singapore.