TopBuild (NYSE:BLD) vs. SolarMax Technology (NASDAQ:SMXT) Head to Head Analysis

TopBuild (NYSE:BLD) and SolarMax Technology (NASDAQ:SMXT) are both construction companies, but which is the better stock? We will compare the two companies based on the strength of their valuation, analyst recommendations, institutional ownership, dividends, profitability, earnings and risk.

Valuation & Earnings

This table compares TopBuild and SolarMax Technology’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TopBuild	$5.19 billion	2.36	$614.25 million	$19.84	19.42
SolarMax Technology	$54.14 million	2.73	$440,000.00	N/A	N/A

TopBuild has higher revenue and earnings than SolarMax Technology.

Profitability

This table compares TopBuild and SolarMax Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TopBuild	12.11%	25.87%	12.61%
SolarMax Technology	N/A	N/A	N/A

Analyst Recommendations

This is a summary of current ratings and recommmendations for TopBuild and SolarMax Technology, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TopBuild	0	2	9	0	2.82
SolarMax Technology	0	0	0	0	N/A

TopBuild currently has a consensus target price of $436.00, suggesting a potential upside of 13.17%. Given TopBuild’s higher possible upside, equities analysts clearly believe TopBuild is more favorable than SolarMax Technology.

Institutional and Insider Ownership

95.7% of TopBuild shares are held by institutional investors. 0.5% of TopBuild shares are held 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.

Summary

TopBuild beats SolarMax Technology on 9 of the 10 factors compared between the two stocks.

About TopBuild

TopBuild Corp., together with its subsidiaries, engages in the installation and distribution of insulation and other building material products to the construction industry. The company operates in two segments, Installation and Specialty Distribution. It provides insulation products and accessories, glass and windows, rain gutters, garage doors, fireplaces, roofing materials, closet shelving, and other products. The company also offers insulation installation services for fiberglass batts and rolls, blown-in loose fill fiberglass, polyurethane spray foam, and blown-in loose fill cellulose applications. In addition, it distributes building and mechanical insulation, insulation accessories, and other building product materials for the residential, commercial, and industrial end markets. The company serves single-family homebuilders, single-family custom builders, multi-family builders, commercial general contractors, remodelers, and individual homeowners, as well as insulation contractors, gutter contractors, weatherization contractors, other contractors, dealers, metal building erectors, and modular home builders. It operates installation branches and distribution centers in the United States and Canada. The company was formerly known as Masco SpinCo Corp. and changed its name to TopBuild Corp. in March 2015. TopBuild Corp. was incorporated in 2015 and is headquartered in Daytona Beach, Florida.

About SolarMax Technology

SolarMax Technology, Inc., through its subsidiaries, operates as an integrated solar energy company in the United States and China. The company engages in the sale and installation of photovoltaic and battery backup systems; sale of LED systems; and identifying and procuring solar farm projects for resale to third parties, as well as provision of engineering, procuring, and construction services for solar farm projects. It serves residential, commercial, and government customers. SolarMax Technology, Inc. was incorporated in 2008 and is headquartered in Riverside, California.