Contrasting Nihon Kohden (OTCMKTS:NHNKY) & Aisin (OTCMKTS:ASEKY)

Profitability

This table compares Nihon Kohden and Aisin’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nihon Kohden	4.31%	10.88%	8.64%
Aisin	1.30%	2.85%	1.45%

Dividends

Nihon Kohden pays an annual dividend of $0.11 per share and has a dividend yield of 0.8%. Aisin pays an annual dividend of $0.27 per share and has a dividend yield of 2.7%. Nihon Kohden pays out 28.9% of its earnings in the form of a dividend. Aisin pays out 50.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Volatility & Risk

Nihon Kohden has a beta of -0.11, indicating that its share price is 111% less volatile than the S&P 500. Comparatively, Aisin has a beta of 0.72, indicating that its share price is 28% less volatile than the S&P 500.

Insider and Institutional Ownership

0.1% of Nihon Kohden shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Nihon Kohden and Aisin”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nihon Kohden	$1.54 billion	1.60	$117.48 million	$0.38	37.76
Aisin	$34.01 billion	0.24	$629.06 million	$0.53	18.87

Aisin has higher revenue and earnings than Nihon Kohden. Aisin is trading at a lower price-to-earnings ratio than Nihon Kohden, indicating that it is currently the more affordable of the two stocks.

Summary

Nihon Kohden beats Aisin on 7 of the 12 factors compared between the two stocks.

About Nihon Kohden

Nihon Kohden Corporation engages in development, manufacturing, sale, maintenance, and consultation of medical electronic equipment, and related systems and products in Japan, Americas, Europe, rest of Asia, and internationally. It offers physiological measuring equipment comprising electrocardiographs, electroencephalographs, and polygraphs for Cath-labs; patient monitoring systems, such as beside and central monitors; and treatment equipment including defibrillators, automated external defibrillators, ventilators, and pacemakers. The company also provides medical support system, which includes diagnostic and clinical information system; and in-vitro diagnostic equipment comprising hematology and clinical chemistry analyzers. In addition, it operates insurance brokerage and technology licensing business. The company was incorporated in 1951 and is headquartered in Shinjuku, Japan.

About Aisin

Aisin Corporation manufactures and sells automotive parts, and energy and lifestyle related products. It provides powertrain products comprising 1 motor hybrid transmission and eaxle products; chassis and vehicle safety systems, such as automated parking systems and electronically controlled brake systems; power sliding door systems and sunroof products; connected and sharing solutions; and repair and maintenance products. The company also offers energy solutions comprising ENE·FARM, a system that generates electricity by extracting hydrogen from gas; gas heat pump air conditioners; warm water shower toilet seats; and peltier modules that are thermoelectric conversion devices, which function as heat pumps by sending direct current. In addition, it provides ILY-Ai, a multifunctional personal shopping mobility product for various user needs; fiber laser; and audio equipment. Aisin Corporation was founded in 1943 and is headquartered in Kariya, Japan.