ALG vs HLIO

For growth investors, Helios Technologies, Inc.

(HLIO) is the stronger pick with 4. 1% revenue growth year-over-year, versus -1. 5% for Alamo Group Inc. (ALG). Alamo Group Inc. (ALG) offers the better valuation at 19. 9x trailing P/E (16. 5x forward), making it the more compelling value choice. Analysts rate Alamo Group Inc. (ALG) a "Buy" — based on 10 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Alamo Group Inc.

(ALG) is the cheapest at 19. 9x versus Helios Technologies, Inc. at 48. 1x. On forward P/E, Alamo Group Inc. is actually cheaper at 16. 5x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Helios Technologies, Inc. wins at 1. 03x versus Alamo Group Inc. 's 1. 38x — a reasonable growth-adjusted valuation.

Over the past 5 years, Alamo Group Inc.

(ALG) delivered a total return of +7. 9%, compared to -4. 1% for Helios Technologies, Inc. (HLIO). Over 10 years, the gap is even starker: ALG returned +219. 5% versus HLIO's +112. 1%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Alamo Group Inc.

(ALG) is the lower-risk stock at 0. 99β versus Helios Technologies, Inc. 's 1. 56β — meaning HLIO is approximately 58% more volatile than ALG relative to the S&P 500. On balance sheet safety, Helios Technologies, Inc. (HLIO) carries a lower debt/equity ratio of 12% versus 19% for Alamo Group Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Helios Technologies, Inc.

(HLIO) is pulling ahead at 4. 1% versus -1. 5% for Alamo Group Inc. (ALG). On earnings-per-share growth, the picture is similar: Helios Technologies, Inc. grew EPS 23. 9% year-over-year, compared to -10. 8% for Alamo Group Inc.. Over a 3-year CAGR, ALG leads at 1. 9% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Alamo Group Inc.

(ALG) is the more profitable company, earning 6. 5% net margin versus 5. 8% for Helios Technologies, Inc. — meaning it keeps 6. 5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ALG leads at 9. 5% versus 7. 9% for HLIO. At the gross margin level — before operating expenses — HLIO leads at 32. 3%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Helios Technologies, Inc. (HLIO) is the more undervalued stock at a PEG of 1. 03x versus Alamo Group Inc. 's 1. 38x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, Alamo Group Inc. (ALG) trades at 16. 5x forward P/E versus 27. 6x for Helios Technologies, Inc. — 11. 1x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ALG: 11. 2% to $190. 00.

All stocks in this comparison pay dividends.

Alamo Group Inc. (ALG) offers the highest yield at 0. 7%, versus 0. 5% for Helios Technologies, Inc. (HLIO).

For long-horizon retirement investors, Alamo Group Inc.

(ALG) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 99), 0. 7% yield, +219. 5% 10Y return). Helios Technologies, Inc. (HLIO) carries a higher beta of 1. 56 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (ALG: +219. 5%, HLIO: +112. 1%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.