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How Does Lindsay Compare to Its Peers?

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Lindsay and its peers

We’ve looked at Lindsay’s (LNN) fiscal 1Q16 results. Now let’s compare Lindsay with its peers as of December 23, 2015.

First, let’s compare PE (price-to-earnings) ratios:

Now let’s look at PBV (price-to-book value) ratios:

  • Lindsay: 3.0x
  • Deere & Company: 3.8x
  • Toro: 8.9x
  • AGCO: 1.4x
  • Valmont Industries: 2.5x

As you can see, Lindsay has outperformed its peers based on PE.

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ETFs that invest in Lindsay 

The First Trust ISE Water Index Fund (FIW) invests 3.6% of its holdings in Lindsay.

The PowerShares Water Resource Portfolio (PHO) invests 2.5% of its holdings in Lindsay. The ETF tracks a modified liquidity-weighted index of US-listed companies that create products to conserve and purify water.

The PowerShares Global Water Portfolio (PIO) invests 1.4% of its holdings in Lindsay. The ETF tracks a modified liquidity-weighted index of global companies that create products to conserve and purify water for homes, businesses, and industries.

Comparing Lindsay and its ETFs

Now let’s look at Lindsay compared to its ETFs:

  • The year-to-date price movements of Lindsay, FIW, PHO, and PIO are -11.4%, -11.2%, -16.0%, and -8.7%, respectively.
  • The PE ratios of Lindsay, FIW, PHO, and PIO are 34.2x, 69.9x, 47.0x, and 24.6x, respectively.
  • The PBV ratios of Lindsay, FIW, PHO, and PIO are 3.0x, 2.2x, 2.7x, and 2.4x, respectively.

According to the above findings, these ETFs have mostly outperformed Lindsay based on price movement and PE. However, Lindsay is ahead of its ETFs based on PBV.

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