Frontdoor vs. Janus International: A Comprehensive Business Comparison

Frontdoor (NASDAQ: FTDR) and Janus International Group (NYSE: JBI) are both significant players in the construction industry. A detailed analysis reveals which company currently holds the edge in terms of financial performance, analyst recommendations, risk profile, and ownership structure.

Comparing Risk and Volatility

Both companies exhibit notable volatility. Frontdoor has a beta of 1.35, indicating that its stock is 35% more volatile than the S&P 500. In comparison, Janus International Group’s beta stands at 1.34, reflecting a 34% increase in volatility relative to the same benchmark. This suggests that investors in either company may experience significant fluctuations in stock prices.

Analyst Recommendations and Earnings Insights

Recent recommendations from analysts, as reported by MarketBeat, provide insight into investor sentiment for both companies. Frontdoor outperforms Janus International Group in terms of revenue and earnings per share, indicating stronger overall financial health. Frontdoor’s lower price-to-earnings ratio also suggests it may be a more affordable investment option at this time.

In terms of ownership, Janus International Group boasts a robust institutional ownership figure of 88.8%. This indicates a strong belief in the company’s long-term growth potential among large investors. In contrast, only 1.5% of Frontdoor’s shares are held by company insiders, while 4.6% of Janus’s shares are owned by insiders. This difference underscores a significant divergence in confidence from insiders and institutional investors.

Profitability metrics further highlight the differences between the two companies. Frontdoor shows superior net margins, return on equity, and return on assets compared to Janus International Group, reinforcing its stronger operational performance.

Company Profiles

Frontdoor, founded in 1971 and headquartered in Memphis, Tennessee, specializes in providing home warranties across the United States. Its customizable plans protect homeowners from costly breakdowns of essential systems and appliances, covering approximately 20 different areas. The company also offers innovative services such as the Streem app, which connects homeowners with qualified experts through video chat for immediate assistance.

On the other hand, Janus International Group, established in 2002 and based in Temple, Georgia, focuses on manufacturing and supplying turn-key self-storage and commercial building solutions. The company provides various products, including roll-up and swing doors, hallway systems, and access control technologies, catering to both North American and international clients.

In summary, Frontdoor leads in 9 out of 14 analyzed factors when compared to Janus International Group, indicating its stronger market position. Investors may consider these insights carefully when evaluating their options in the construction sector.