Critical Review: Taylor Wimpey (OTCMKTS:TWODY) and Legacy Housing (NASDAQ:LEGH)

Legacy Housing (NASDAQ:LEGHGet Free Report) and Taylor Wimpey (OTCMKTS:TWODYGet Free Report) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, profitability, risk, institutional ownership, analyst recommendations and dividends.

Earnings & Valuation

This table compares Legacy Housing and Taylor Wimpey’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Legacy Housing $238.37 million 2.15 $67.77 million $2.65 7.91
Taylor Wimpey $5.47 billion 0.91 $796.07 million N/A N/A

Taylor Wimpey has higher revenue and earnings than Legacy Housing.

Analyst Ratings

This is a summary of current ratings for Legacy Housing and Taylor Wimpey, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Legacy Housing 0 1 2 0 2.67
Taylor Wimpey 0 0 0 0 N/A

Legacy Housing currently has a consensus price target of $29.67, indicating a potential upside of 41.47%. Given Legacy Housing’s higher probable upside, research analysts plainly believe Legacy Housing is more favorable than Taylor Wimpey.

Institutional & Insider Ownership

27.1% of Legacy Housing shares are owned by institutional investors. 35.9% of Legacy Housing shares are owned 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.

Profitability

This table compares Legacy Housing and Taylor Wimpey’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Legacy Housing 27.57% 16.90% 14.80%
Taylor Wimpey N/A N/A N/A

Risk & Volatility

Legacy Housing has a beta of 0.86, suggesting that its stock price is 14% less volatile than the S&P 500. Comparatively, Taylor Wimpey has a beta of 1.93, suggesting that its stock price is 93% more volatile than the S&P 500.

Summary

Legacy Housing beats Taylor Wimpey on 8 of the 11 factors compared between the two stocks.

About Legacy Housing

(Get Free Report)

Legacy Housing Corporation builds, sells, and finances manufactured homes and tiny houses primarily in the southern United States. The company manufactures and provides for the transport of mobile homes; and provides wholesale financing to dealers and mobile home parks, as well as retail financing to consumers. It also offers floor plan financing for independent retailers; consumer financing for its products; financing to manufactured housing community owners that buy its products for use in their rental housing communities; and a range of homes, including 1 to 5 bedrooms with 1 to 3 1/2 bathrooms. In addition, it involved in financing and developing new manufactured home communities. The company markets its homes under the Legacy brand through a network of independent retailers and company-owned stores; and directly to manufactured home communities. Legacy Housing Corporation was founded in 2005 and is headquartered in Bedford, Texas.

About Taylor Wimpey

(Get Free Report)

Taylor Wimpey plc operates a residential developer in the United Kingdom and Spain. It builds and delivers various homes and communities. Taylor Wimpey plc was incorporated in 1935 and is based in High Wycombe, the United Kingdom.

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