Critical Review: SKK (NASDAQ:SKK) & Dycom Industries (NYSE:DY)

SKK (NASDAQ:SKK) and Dycom Industries (NYSE:DY) are both construction companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, profitability, analyst recommendations, earnings, dividends and risk.

Profitability

This table compares SKK and Dycom Industries’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SKK	N/A	N/A	N/A
Dycom Industries	4.91%	20.99%	8.62%

Analyst Recommendations

This is a summary of current ratings and price targets for SKK and Dycom Industries, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SKK	0	0	0	0	0.00
Dycom Industries	0	0	7	1	3.13

Dycom Industries has a consensus target price of $206.13, indicating a potential upside of 14.85%. Given Dycom Industries’ stronger consensus rating and higher probable upside, analysts plainly believe Dycom Industries is more favorable than SKK.

Insider and Institutional Ownership

98.3% of Dycom Industries shares are owned by institutional investors. 4.3% of Dycom Industries shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares SKK and Dycom Industries”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SKK	N/A	N/A	N/A	N/A	N/A
Dycom Industries	$4.18 billion	1.25	$218.92 million	$7.60	23.62

Dycom Industries has higher revenue and earnings than SKK.

Summary

Dycom Industries beats SKK on 10 of the 10 factors compared between the two stocks.

About SKK

SKK Holdings Limited, through its subsidiaries, provides civil engineering services in Singapore. It undertakes subsurface utility works, such as power and telecommunication cable laying works, water pipeline works, and sewer rehabilitation works. The company also offers gas pipeline and sewer construction works; and underground piping, underground utility infrastructure construction and maintenance, horizontal directional drilling, and plumbing and sanitary works. It serves government authorities, utility companies, or contractors. The company was founded in 2013 and is headquartered in Singapore.

About Dycom Industries

Dycom Industries, Inc. provides specialty contracting services to the telecommunications infrastructure and utility industries in the United States. The company offers engineering services to telecommunications providers, including the planning and design of aerial, underground, and buried fiber optic, copper, and coaxial cable systems; wireless networks in connection with the deployment of macro cell and new small cell sites; and program and project management and inspection personnel. It also provides construction, maintenance, and installation services for telephone companies and cable multiple system operators, such as placement and splicing of copper, fiber, and coaxial cables; tower construction, lines and antenna installation, foundation and equipment pad construction, and small cell site placement for wireless carriers, as well as equipment installation and material fabrication, and site testing services; underground facility locating services comprising locating telephone, cable television, power, water, sewer, and gas lines; installation and maintenance of customer premise equipment, including digital video recorders, set top boxes, and modems for cable system operators; and construction and maintenance services for electric and gas utilities, and other customers. Dycom Industries, Inc. was incorporated in 1969 and is headquartered in Palm Beach Gardens, Florida.