Analyzing AdvanSix (NYSE:ASIX) and Symrise (OTCMKTS:SYIEY)

AdvanSix (NYSE:ASIX) and Symrise (OTCMKTS:SYIEY) are both basic materials companies, but which is the superior business? We will compare the two companies based on the strength of their risk, analyst recommendations, valuation, profitability, dividends, earnings and institutional ownership.

Dividends

AdvanSix pays an annual dividend of $0.64 per share and has a dividend yield of 3.2%. Symrise pays an annual dividend of $0.20 per share and has a dividend yield of 0.8%. AdvanSix pays out 173.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. AdvanSix has increased its dividend for 2 consecutive years. AdvanSix is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Volatility and Risk

AdvanSix has a beta of 1.28, meaning that its stock price is 28% more volatile than the S&P 500. Comparatively, Symrise has a beta of 0.67, meaning that its stock price is 33% less volatile than the S&P 500.

Profitability

This table compares AdvanSix and Symrise’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AdvanSix	0.67%	2.18%	1.05%
Symrise	N/A	N/A	N/A

Earnings and Valuation

This table compares AdvanSix and Symrise”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AdvanSix	$1.52 billion	0.35	$49.29 million	$0.37	53.51
Symrise	$5.58 billion	2.45	$281.99 million	N/A	N/A

Symrise has higher revenue and earnings than AdvanSix.

Analyst Ratings

This is a summary of recent recommendations and price targets for AdvanSix and Symrise, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AdvanSix	1	2	0	0	1.67
Symrise	0	3	3	0	2.50

AdvanSix currently has a consensus target price of $22.50, suggesting a potential upside of 13.64%. Given AdvanSix’s higher probable upside, equities research analysts plainly believe AdvanSix is more favorable than Symrise.

Insider & Institutional Ownership

86.4% of AdvanSix shares are held by institutional investors. 5.0% of AdvanSix shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

AdvanSix beats Symrise on 9 of the 15 factors compared between the two stocks.

About AdvanSix

AdvanSix Inc. engages in the manufacture and sale of polymer resins in the United States and internationally. It offers Nylon 6, a polymer resin, which is a synthetic material used to produce fibers, filaments, engineered plastics, and films. The company also provides caprolactam to manufacture polymer resins; ammonium sulfate fertilizers to distributors, farm cooperatives, and retailers; and acetone that are used in the production of adhesives, paints, coatings, solvents, herbicides, and engineered plastic resins, as well as other intermediate chemicals, including phenol, monoisopropylamine, dipropylamine, monoallylamine, alpha-methylstyrene, cyclohexanone, methyl ethyl ketoxime, acetaldehyde oxime, 2-pentanone oxime, cyclohexanol, sulfuric acid, ammonia, and carbon dioxide. It offers its products under the Aegis, Capran, Sulf-N, Nadone, Naxol, and EZ-Blox brands. The company sells its products directly, as well as through distributors. AdvanSix Inc. was incorporated in 2016 and is headquartered in Parsippany, New Jersey.

About Symrise

Symrise AG supplies fragrances, flavorings, cosmetic active ingredients and raw materials, and functional ingredients in Europe, Africa, the Middle East, North America, the Asia Pacific, and Latin America. It operates through two segments, Taste, Nutrition & Health; and Scent & Care. The Taste, Nutrition & Health segment provides functional ingredients and product solutions used in the production of food and beverages; savory flavors; natural and sustainable ingredients for food and beverage manufacturers, baby food, and dietary supplements; product solutions and services for pet food manufacturers; sustainable ingredients and services for fish feed manufacturers to develop solutions for fish and shrimp farms; and probiotics for food supplements and functional foods. The Scent & Care segment develops, produces, and sells fragrance ingredients and compositions, aroma molecules, cosmetic ingredients, and mint flavors, as well as specific application processes for such substances. This segment's products are used by manufacturers of perfumes, personal care and cosmetic products, cleaning products, detergents, air fresheners, and oral care products. Symrise AG was founded in 1874 and is headquartered in Holzminden, Germany.