Financial Comparison: TriMas (NASDAQ:TRS) versus Smurfit Westrock (NYSE:SW)

Smurfit Westrock (NYSE:SW) and TriMas (NASDAQ:TRS) are both materials companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, dividends, valuation, institutional ownership, earnings, profitability and risk.

Risk and Volatility

Smurfit Westrock has a beta of 0.96, meaning that its stock price is 4% less volatile than the S&P 500. Comparatively, TriMas has a beta of 0.6, meaning that its stock price is 40% less volatile than the S&P 500.

Earnings and Valuation

This table compares Smurfit Westrock and TriMas”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Smurfit Westrock	$31.18 billion	0.81	$699.00 million	$0.94	51.19
TriMas	$664.37 million	2.11	$120.14 million	$24.03	1.62

Smurfit Westrock has higher revenue and earnings than TriMas. TriMas is trading at a lower price-to-earnings ratio than Smurfit Westrock, indicating that it is currently the more affordable of the two stocks.

Dividends

Smurfit Westrock pays an annual dividend of $1.81 per share and has a dividend yield of 3.8%. TriMas pays an annual dividend of $0.16 per share and has a dividend yield of 0.4%. Smurfit Westrock pays out 192.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. TriMas pays out 0.7% of its earnings in the form of a dividend.

Profitability

This table compares Smurfit Westrock and TriMas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Smurfit Westrock	1.59%	4.60%	1.85%
TriMas	104.22%	6.41%	3.71%

Analyst Recommendations

This is a summary of recent recommendations and price targets for Smurfit Westrock and TriMas, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Smurfit Westrock	0	2	11	0	2.85
TriMas	0	1	3	0	2.75

Smurfit Westrock presently has a consensus target price of $57.62, suggesting a potential upside of 19.73%. TriMas has a consensus target price of $41.50, suggesting a potential upside of 6.44%. Given Smurfit Westrock’s stronger consensus rating and higher possible upside, equities analysts plainly believe Smurfit Westrock is more favorable than TriMas.

Insider and Institutional Ownership

83.4% of Smurfit Westrock shares are owned by institutional investors. Comparatively, 99.4% of TriMas shares are owned by institutional investors. 0.5% of Smurfit Westrock shares are owned by company insiders. Comparatively, 17.5% of TriMas shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

About Smurfit Westrock

Smurfit Westrock Plc, together with its subsidiaries, manufactures, distributes, and sells containerboard, corrugated containers, and other paper-based packaging products in Ireland and internationally. The company produces containerboard that it converts into corrugated containers or sells to third parties, as well as produces other types of paper, such as consumer packaging board, sack paper, graphic paper, solid board and graphic board, and other paper-based packaging products, such as consumer packaging, solid board packaging, paper sacks, and other packaging products, including bag-in-box. It also produces linerboard and corrugated medium, paperboard, and non-packaging grades of paper, as well as converted products, such as folding cartons and corrugated boxes, and other products; recycled paper-based packaging products; and packaging machinery. The company primarily serves food and beverage, e-commerce, retail, consumer goods, industrial, and foodservice markets. Smurfit Westrock Plc was founded in 1934 and is headquartered in Dublin, Ireland.

About TriMas

TriMas Corporation engages in the design, development, manufacture, and sale of products for consumer products, aerospace, and industrial markets worldwide. The company operates through Packaging, Aerospace, and Specialty Products segments. The Packaging segment offers dispensing products, such as foaming and sanitizer pumps, lotion and hand soap pumps, beverage dispensers, perfume sprayers, and nasal and trigger sprayers; polymeric and steel caps and closures comprising food lids, flip-top and beverage closures, child resistance caps, drum and pail closures, and flexible spouts; polymeric jar products; integrated dispensers; bag-in-box products; and consumable vascular delivery and diagnostic test components under the Rieke, Taplast, Affaba & Ferrari, Intertech, Omega, and Rapak brands. The Aerospace segment provides fasteners, collars, blind bolts, rivets, ducting, and connectors for air management systems, and other highly-machined parts and components to original equipment manufacturers, supply chain distributors, and tier one suppliers, as well as maintenance, repair and overhaul (MRO)/aftermarket providers; and military and defense aerospace applications and platforms under the Monogram Aerospace Fasteners, Allfast Fastening Systems, Mac Fasteners, TFI Aerospace, RSA Engineered Products, and Martinic Engineering brands. The Specialty Products segment offers steel cylinders for use in the transportation, storage, and dispensing of compressed gases under the Norris Cylinder brand; natural gas powered wellhead engines, compressors, and replacement parts for oil and natural gas production, and other industrial and commercial markets under the Arrow brand; and spare parts for various industrial engines. It sells its products through a direct sales force, third-party agents, and distributors. TriMas Corporation was incorporated in 1986 and is headquartered in Bloomfield Hills, Michigan.