In the competitive world of industrial machinery, Nordson Corporation (NDSN) and Columbus McKinnon Corporation (CMCO) stand out as key players, each with unique strengths and market strategies. While both companies operate within the broader industrials sector, they cater to different niches, with Nordson focusing on precision dispensing solutions and Columbus McKinnon specializing in intelligent motion solutions. This article will guide you through a comparative analysis of these two companies, ultimately helping you determine which one is the more intriguing investment opportunity.
Table of contents
Company Overview
Nordson Corporation Overview
Nordson Corporation (NDSN), founded in 1935 and headquartered in Westlake, Ohio, is a leader in the industrial machinery sector. The company specializes in the engineering, manufacturing, and marketing of products and systems for dispensing, applying, and controlling adhesives, coatings, and other fluids. With a market cap of approximately $13.27B, Nordson operates through two primary segments: Industrial Precision Solutions and Advanced Technology Solutions. Its diverse offerings cater to various industries, including semiconductor and consumer goods, ensuring precision in production processes. The company’s commitment to innovation and quality positions it as a vital player in global manufacturing.
Columbus McKinnon Corporation Overview
Columbus McKinnon Corporation (CMCO), established in 1875 and based in Buffalo, New York, designs and manufactures intelligent motion solutions for material handling. The company has a market cap of around $510.5M and offers a range of products, including hoists, cranes, rigging equipment, and motion control technology. Serving multiple sectors such as construction, energy, and e-commerce, Columbus McKinnon emphasizes ergonomic solutions that improve safety and efficiency. Its long-standing reputation and comprehensive product line make it a significant contributor to the industrial machinery market.
Key similarities and differences
Both Nordson and Columbus McKinnon operate within the industrial sector, focusing on manufacturing solutions that enhance productivity. However, Nordson specializes in adhesive and coating applications, while Columbus McKinnon emphasizes material handling and motion solutions. This distinction highlights their targeted approaches to different aspects of industrial machinery, catering to diverse market needs.
Income Statement Comparison
The following table compares the most recent income statements for Nordson Corporation and Columbus McKinnon Corporation, providing a clear overview of their financial performance.
| Metric | Nordson Corporation (NDSN) | Columbus McKinnon Corporation (CMCO) |
|---|---|---|
| Market Cap | 13.27B | 510.50M |
| Revenue | 2.79B | 963.03M |
| EBITDA | 711.73M | 75.11M |
| EBIT | 561.20M | 26.92M |
| Net Income | 484.47M | -5.14M |
| EPS | 8.56 | -0.18 |
| Fiscal Year | 2025 | 2024 |
Interpretation of Income Statement
In 2025, Nordson Corporation saw a revenue increase to 2.79B, reflecting strong demand and effective cost management, contributing to a net income of 484.47M. In contrast, Columbus McKinnon Corporation experienced a decline in net income, reporting a loss of 5.14M, largely due to rising operational costs, despite a revenue of 963.03M. The significant difference in profitability highlights Nordson’s solid margins, while Columbus McKinnon must address its cost structure to improve future performance. The contrasting trends in growth and profitability between the two companies suggest potential risks and opportunities for investors.
Financial Ratios Comparison
Below is a comparative table showing the most recent financial ratios for Nordson Corporation (NDSN) and Columbus McKinnon Corporation (CMCO).
| Metric | NDSN | CMCO |
|---|---|---|
| ROE | 16% | -0.58% |
| ROIC | 9.65% | 3.60% |
| P/E | 27.1 | -94.69 |
| P/B | 4.87 | 1.40 |
| Current Ratio | 2.41 | 1.81 |
| Quick Ratio | 1.51 | 1.04 |
| D/E | 0.79 | 0.61 |
| Debt-to-Assets | 0.39 | 0.33 |
| Interest Coverage | 7.58 | 1.68 |
| Asset Turnover | 0.45 | 0.55 |
| Fixed Asset Turnover | 4.21 | 9.07 |
| Payout Ratio | 36.96% | -156.52% |
| Dividend Yield | 1.36% | 1.65% |
Interpretation of Financial Ratios
The financial ratios present a mixed picture. Nordson Corporation exhibits strong profitability metrics, with a healthy ROE of 16% and a solid current ratio of 2.41, indicating good liquidity. In contrast, Columbus McKinnon shows a negative ROE and payout ratio, suggesting financial distress. While CMCO’s asset turnover is slightly higher, its weak profitability metrics raise significant concerns. Investors should weigh these factors carefully before making investment decisions.
Dividend and Shareholder Returns
Nordson Corporation (NDSN) pays dividends with a payout ratio of approximately 37%, offering a dividend yield of 1.36%. Their trend shows a steady increase in the dividend per share, supported by a healthy free cash flow coverage. Columbus McKinnon Corporation (CMCO), however, is not currently paying dividends due to negative net income and a focus on reinvestment for growth. Both companies engage in share buybacks, but NDSN’s approach seems more aligned with sustainable long-term shareholder value creation.
Strategic Positioning
Nordson Corporation (NDSN) holds a strong market position in the industrial machinery sector, with a market cap of $13.27B. It excels in dispensing systems, benefiting from a diversified product range and technological advancements. Columbus McKinnon Corporation (CMCO), valued at $510M, faces competitive pressure with its intelligent motion solutions but has room for growth through innovation. Both companies are navigating potential disruptions from emerging technologies, emphasizing the need for continuous adaptation to maintain their market shares.
Stock Comparison
In this section, I will analyze the weekly stock price movements of Nordson Corporation (NDSN) and Columbus McKinnon Corporation (CMCO) over the past year, highlighting key price dynamics and trends.
Trend Analysis
For Nordson Corporation (NDSN), the overall price change over the past year is -6.75%, indicating a bearish trend. The stock has experienced notable price fluctuations, with a high of 278.89 and a low of 176.73. Importantly, the trend shows acceleration, accompanied by a standard deviation of 23.71, suggesting significant volatility in its price movements.
In a more recent context, from September 28, 2025, to December 14, 2025, NDSN saw a price increase of 4.11%. This recent upward shift, with a trend slope of 0.71 and a standard deviation of 3.47, indicates a potential short-term bullish momentum, though the longer-term outlook remains cautious due to the overall bearish trend.
Turning to Columbus McKinnon Corporation (CMCO), the stock has experienced a steep decline of -51.41% over the past year, also reflecting a bearish trend. The price range has varied significantly, with a high of 44.90 and a low of 12.96, and like NDSN, it has also shown acceleration in its price movement, backed by a standard deviation of 11.29.
In the recent timeframe from September 28, 2025, to December 14, 2025, CMCO’s price surged by 21.63%, revealing a strong short-term recovery. The trend slope of 0.24, alongside a low standard deviation of 1.02, indicates a more stable upward movement during this period, even as the overall long-term trend remains bearish.
In conclusion, while both companies have shown some positive short-term movements, the overarching yearly trends indicate significant caution, particularly for CMCO, which has faced a dramatic decline.
Analyst Opinions
Recent analyst recommendations for Nordson Corporation (NDSN) and Columbus McKinnon Corporation (CMCO) have been positive, with both receiving a rating of B+. Analysts highlight NDSN’s strong return on assets and overall performance, while CMCO benefits from a solid discounted cash flow score. Notably, both companies exhibit moderate risk factors, particularly in their debt-to-equity ratios. As of 2025, the consensus remains a cautious buy for both stocks, reflecting a balanced outlook amid current market conditions.
Stock Grades
In this section, I will present the stock ratings for Nordson Corporation (NDSN) and Columbus McKinnon Corporation (CMCO) from recognized grading companies.
Nordson Corporation Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Oppenheimer | maintain | Outperform | 2025-08-25 |
| Baird | maintain | Neutral | 2025-08-22 |
| Keybanc | maintain | Overweight | 2025-07-15 |
| Oppenheimer | upgrade | Outperform | 2025-05-30 |
| Baird | maintain | Neutral | 2025-05-30 |
| Keybanc | maintain | Overweight | 2025-04-08 |
| Keybanc | upgrade | Overweight | 2025-03-04 |
| Baird | maintain | Neutral | 2025-02-21 |
| Loop Capital | upgrade | Buy | 2025-01-22 |
| Seaport Global | upgrade | Buy | 2024-12-17 |
Columbus McKinnon Corporation Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| DA Davidson | downgrade | Neutral | 2025-02-11 |
| DA Davidson | maintain | Buy | 2024-02-05 |
| DA Davidson | maintain | Buy | 2022-10-04 |
| DA Davidson | maintain | Buy | 2022-10-03 |
| Barrington Research | maintain | Outperform | 2022-07-29 |
| Barrington Research | maintain | Outperform | 2022-07-28 |
| JP Morgan | downgrade | Neutral | 2022-05-26 |
| Barrington Research | maintain | Outperform | 2022-05-26 |
| Barrington Research | maintain | Outperform | 2022-05-25 |
| JP Morgan | downgrade | Neutral | 2022-05-25 |
Overall, Nordson Corporation’s grades indicate a consistent positive outlook, particularly with multiple upgrades to “Outperform” and “Buy.” Conversely, Columbus McKinnon Corporation has experienced a recent downgrade, reflecting a shift in sentiment that could warrant caution for potential investors.
Target Prices
The current consensus target prices from analysts for the following companies indicate potential upside opportunities.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| Nordson Corporation (NDSN) | 285 | 240 | 263 |
| Columbus McKinnon Corporation (CMCO) | 50 | 48 | 49 |
Analysts expect Nordson Corporation’s stock to reach a consensus of 263, suggesting a potential upside from its current price of 236.19. For Columbus McKinnon Corporation, the consensus target of 49 indicates a modest growth potential compared to its current price of 17.77.
Strengths and Weaknesses
In this section, I present a comparative analysis of the strengths and weaknesses of Nordson Corporation (NDSN) and Columbus McKinnon Corporation (CMCO).
| Criterion | Nordson Corporation (NDSN) | Columbus McKinnon Corporation (CMCO) |
|---|---|---|
| Diversification | Strong across multiple industries | Limited, focused primarily on industrial machinery |
| Profitability | High profit margins (Net: 17.35%) | Low profitability, recent losses (Net: -0.53%) |
| Innovation | High investment in R&D | Moderate investment in new technologies |
| Global presence | Established worldwide | Primarily focused in North America |
| Market Share | Significant in machinery sector | Smaller, niche player in its market |
| Debt level | Moderate debt levels | Higher debt-to-equity ratio (0.61) |
Key takeaways indicate that Nordson Corporation exhibits strong profitability and diversification, making it a robust candidate for investment. In contrast, Columbus McKinnon presents challenges with profitability and debt levels, suggesting a careful approach for potential investors.
Risk Analysis
In the table below, I present a concise risk evaluation for two companies: Nordson Corporation (NDSN) and Columbus McKinnon Corporation (CMCO).
| Metric | Nordson Corporation (NDSN) | Columbus McKinnon Corporation (CMCO) |
|---|---|---|
| Market Risk | Moderate | High |
| Regulatory Risk | Low | Moderate |
| Operational Risk | Moderate | High |
| Environmental Risk | Low | Moderate |
| Geopolitical Risk | Low | Moderate |
Both companies face various risks, but the most significant risks for CMCO include heightened market volatility and operational challenges. For NDSN, while the market risk is moderate, its operational resilience is crucial in an evolving industrial landscape.
Which one to choose?
When comparing Nordson Corporation (NDSN) and Columbus McKinnon Corporation (CMCO), I find that NDSN shows stronger fundamentals with a robust market capitalization of $13.13B and a net income of $484M. The company has a solid profit margin of 17.35% and a favorable price-to-earnings ratio (P/E) of approximately 27.10. In contrast, CMCO’s market cap is significantly lower at $486M, with a negative net income and a much higher P/E ratio, indicating operational challenges. Both companies have received a rating of B+, but NDSN’s financial metrics reflect a more stable and sustainable growth potential.
For growth-focused investors, I recommend NDSN due to its strong profitability and solid financial metrics. Conversely, conservative investors prioritizing valuation might lean towards CMCO, given its lower price-to-book ratio. However, I must caution that CMCO faces significant operational risks, including recent declines in revenue and profitability.
Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Go further
I encourage you to read the complete analyses of Nordson Corporation and Columbus McKinnon Corporation to enhance your investment decisions:
