Analyzing Benchmark Electronics (NYSE:BHE) and BOE Varitronix (OTCMKTS:VARXF)

Benchmark Electronics (NYSE:BHE) and BOE Varitronix (OTCMKTS:VARXF) are both computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, profitability, dividends, risk, valuation, analyst recommendations and institutional ownership.

Insider and Institutional Ownership

92.3% of Benchmark Electronics shares are held by institutional investors. Comparatively, 14.3% of BOE Varitronix shares are held by institutional investors. 2.1% of Benchmark Electronics shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Benchmark Electronics and BOE Varitronix’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Benchmark Electronics	2.45%	7.17%	3.45%
BOE Varitronix	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent ratings and price targets for Benchmark Electronics and BOE Varitronix, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Benchmark Electronics	0	2	2	0	2.50
BOE Varitronix	0	0	0	0	N/A

Benchmark Electronics presently has a consensus target price of $41.33, suggesting a potential downside of 6.02%. Given Benchmark Electronics’ higher possible upside, equities analysts clearly believe Benchmark Electronics is more favorable than BOE Varitronix.

Earnings & Valuation

This table compares Benchmark Electronics and BOE Varitronix”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Benchmark Electronics	$2.75 billion	0.58	$64.32 million	$1.83	24.03
BOE Varitronix	N/A	N/A	N/A	N/A	N/A

Benchmark Electronics has higher revenue and earnings than BOE Varitronix.

Summary

Benchmark Electronics beats BOE Varitronix on 8 of the 8 factors compared between the two stocks.

About Benchmark Electronics

Benchmark Electronics, Inc., together with its subsidiaries, offers product design, engineering services, technology solutions, and manufacturing services in the Americas, Asia, and Europe. The company provides engineering services and technology solutions, including new product design, prototype, testing, and related engineering services; and custom testing and technology solutions, as well as automation equipment design and build services. It also offers electronics manufacturing and testing services, such as printed circuit board assembly and test solutions, assembly of subsystems, circuitry and functionality testing of printed assemblies, environmental and stress testing, and component reliability testing; component engineering services; manufacturing defect analysis, in-circuit testing, functional testing, and life cycle testing services, as well as environmental stress tests of assemblies of boards or systems; and failure analysis. In addition, the company provides precision machining and electromechanical assembly services; and subsystem and system integration services, including assembly, configuration, and testing for various industries. Further, it provides value-added support systems; supply chain management solutions; direct order fulfillment; and aftermarket non-warranty services, including repair, replacement, refurbishment, remanufacturing, exchange, systems upgrade, and spare parts manufacturing throughout a product’s life cycle. The company serves original equipment manufacturers in the aerospace and defense, medical technologies, complex industrials, semiconductor capital equipment, telecommunications, and advanced computing industries. It markets its services and solutions primarily through a direct sales force. The company was formerly known as Electronics, Inc. Benchmark Electronics, Inc. was founded in 1979 and is headquartered in Tempe, Arizona.

About BOE Varitronix

BOE Varitronix Limited, an investment holding company, designs, manufactures, and sells liquid crystal display and related products in the People's Republic of China, Europe, the United States, Korea, and internationally. It primarily provides thin film transistor products. The company offers display products for use in automotive applications in digital instrument cluster display, center information display, HUD, rear view, and side view E-mirror products; and products for use in industrial applications, such as white goods, home automation, and other products. In addition, the company engages in the marketing and sales consulting activities. BOE Varitronix Limited was founded in 1978 and is headquartered in Kwun Tong, Hong Kong. BOE Varitronix Limited is a subsidiary of BOE Technology Group Company Limited.