Contrasting SolarMax Technology (NASDAQ:SMXT) & Brookfield Business Partners (NYSE:BBU)

SolarMax Technology (NASDAQ:SMXT) and Brookfield Business Partners (NYSE:BBU) are both small-cap oils/energy companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, earnings, dividends, risk, valuation, institutional ownership and analyst recommendations.

Earnings & Valuation

This table compares SolarMax Technology and Brookfield Business Partners’ revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SolarMax Technology	$54.14 million	2.76	$440,000.00	N/A	N/A
Brookfield Business Partners	$55.07 billion	0.03	$482.00 million	$6.38	3.15

Brookfield Business Partners has higher revenue and earnings than SolarMax Technology.

Profitability

This table compares SolarMax Technology and Brookfield Business Partners’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SolarMax Technology	N/A	N/A	N/A
Brookfield Business Partners	7.08%	21.64%	4.41%

Analyst Recommendations

This is a breakdown of current ratings and price targets for SolarMax Technology and Brookfield Business Partners, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SolarMax Technology	0	0	0	0	N/A
Brookfield Business Partners	0	0	6	1	3.14

Brookfield Business Partners has a consensus price target of $30.33, indicating a potential upside of 51.06%. Given Brookfield Business Partners’ higher probable upside, analysts clearly believe Brookfield Business Partners is more favorable than SolarMax Technology.

Institutional and Insider Ownership

85.0% of Brookfield Business Partners shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Brookfield Business Partners beats SolarMax Technology on 9 of the 10 factors compared between the two stocks.

About SolarMax Technology

SolarMax Technology, Inc., through its subsidiaries, operates as an integrated solar energy company in the United States and China. The company engages in the sale and installation of photovoltaic and battery backup systems; sale of LED systems; and identifying and procuring solar farm projects for resale to third parties, as well as provision of engineering, procuring, and construction services for solar farm projects. It serves residential, commercial, and government customers. SolarMax Technology, Inc. was incorporated in 2008 and is headquartered in Riverside, California.

About Brookfield Business Partners

Brookfield Business Partners L.P. is a private equity firm specializing in acquisition. The firm typically invests in business services, infrastructure services, construction, energy, and industrials sector. It prefers to take majority stake in companies. The firm seeks returns of at least 15% on its investments. Brookfield Business Partners L.P. was founded in 2016 and is based in Hamilton, Bermuda. Brookfield Business Partners L.P. operates as a subsidiary of Brookfield Corporation.