Analyzing Avient (AVNT) & The Competition

Avient (NYSE:AVNT) is one of 295 publicly-traded companies in the “Chemicals” industry, but how does it compare to its rivals? We will compare Avient to similar companies based on the strength of its analyst recommendations, institutional ownership, risk, earnings, valuation, dividends and profitability.

Dividends

Avient pays an annual dividend of $1.10 per share and has a dividend yield of 2.3%. Avient pays out 59.5% of its earnings in the form of a dividend. As a group, “Chemicals” companies pay a dividend yield of 3.1% and pay out 108.7% of their earnings in the form of a dividend. Avient has raised its dividend for 1 consecutive years.

Profitability

This table compares Avient and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Avient	5.10%	11.64%	4.67%
Avient Competitors	-61.58%	1.07%	-1.45%

Volatility and Risk

Avient has a beta of 1.23, suggesting that its stock price is 23% more volatile than the S&P 500. Comparatively, Avient’s rivals have a beta of 0.94, suggesting that their average stock price is 6% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations for Avient and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Avient	0	4	3	0	2.43
Avient Competitors	3240	12196	14110	516	2.40

Avient currently has a consensus price target of $46.38, indicating a potential downside of 3.22%. As a group, “Chemicals” companies have a potential upside of 4.99%. Given Avient’s rivals higher possible upside, analysts plainly believe Avient has less favorable growth aspects than its rivals.

Institutional & Insider Ownership

95.5% of Avient shares are held by institutional investors. Comparatively, 47.5% of shares of all “Chemicals” companies are held by institutional investors. 0.9% of Avient shares are held by insiders. Comparatively, 13.9% of shares of all “Chemicals” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Avient and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Avient	$3.26 billion	$81.90 million	25.90
Avient Competitors	$6.42 billion	$222.31 million	-3.58

Avient’s rivals have higher revenue and earnings than Avient. Avient is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Summary

Avient beats its rivals on 8 of the 15 factors compared.

Avient Company Profile

Avient Corporation operates as a formulator of material solutions in the United States, Canada, Mexico, Europe, South America, and Asia. It operates in two segments, Color, Additives and Inks; and Specialty Engineered Materials. The Color, Additives and Inks segment offers custom color and additive concentrates in solid and liquid form for thermoplastics, dispersions for thermosets, and specialty inks; custom-formulated liquid system, such as polyester, vinyl, natural rubber and latex, polyurethane, and silicone; and proprietary inks. Its products are used in medical and pharmaceutical devices, food packaging, personal care and cosmetics, transportation, building products, wire and cable, recreational and athletic apparel, construction and filtration, outdoor furniture, healthcare, textiles and appliances, and industrial markets. The Specialty Engineered Materials segment provides specialty polymer formulations, services, and solutions for designers, assemblers, and processors of thermoplastic materials. It sells its products through direct sales personnel, distributors, and commissioned sales agents. The company was formerly known as PolyOne Corporation and changed its name to Avient Corporation in June 2020. Avient Corporation was founded in 1885 and is headquartered in Avon Lake, Ohio.