Financial Survey: International Flavors & Fragrances (NYSE:IFF) vs. Elementis (OTCMKTS:ELMTY)

Elementis (OTCMKTS:ELMTY) and International Flavors & Fragrances (NYSE:IFF) are both materials companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, earnings, analyst recommendations, institutional ownership, valuation, dividends and profitability.

Risk and Volatility

Elementis has a beta of 0.07, meaning that its share price is 93% less volatile than the S&P 500. Comparatively, International Flavors & Fragrances has a beta of 0.93, meaning that its share price is 7% less volatile than the S&P 500.

Institutional & Insider Ownership

96.0% of International Flavors & Fragrances shares are held by institutional investors. 1.1% of International Flavors & Fragrances shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Dividends

Elementis pays an annual dividend of $0.19 per share and has a dividend yield of 2.0%. International Flavors & Fragrances pays an annual dividend of $1.60 per share and has a dividend yield of 1.9%. International Flavors & Fragrances pays out 146.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Analyst Ratings

This is a summary of current ratings and price targets for Elementis and International Flavors & Fragrances, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Elementis	0	0	0	0	0.00
International Flavors & Fragrances	0	6	13	0	2.68

International Flavors & Fragrances has a consensus target price of $91.82, indicating a potential upside of 8.75%. Given International Flavors & Fragrances’ stronger consensus rating and higher probable upside, analysts clearly believe International Flavors & Fragrances is more favorable than Elementis.

Profitability

This table compares Elementis and International Flavors & Fragrances’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Elementis	N/A	N/A	N/A
International Flavors & Fragrances	2.78%	7.11%	3.96%

Earnings and Valuation

This table compares Elementis and International Flavors & Fragrances”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Elementis	$597.50 million	2.26	-$45.50 million	N/A	N/A
International Flavors & Fragrances	$10.89 billion	1.98	-$361.00 million	$1.09	77.46

Elementis has higher earnings, but lower revenue than International Flavors & Fragrances.

Summary

International Flavors & Fragrances beats Elementis on 10 of the 14 factors compared between the two stocks.

About Elementis

Elementis plc operates as a specialty chemical company in the United Kingdom, rest of Europe, North America, and internationally. It operates in two segments, Performance Specialties and Personal Care. The Performance Specialties segment engages in the production of rheological modifiers and additives for decorative and industrial coatings; and production and supply of talc for use in plastics, coatings, technical ceramics, and paper sectors. The Personal Care segment provides rheological modifiers and compounded products, including active ingredients for antiperspirants (AP) deodorants for personal care manufacturers. The company offers personal care products for antiperspirants, color cosmetics, and skin care applications; and performance specialties products for architectural coatings, adhesives, sealants and construction additives, and talc applications. Elementis plc was founded in 1844 and is headquartered in London, the United Kingdom.

About International Flavors & Fragrances

International Flavors & Fragrances, Inc. engages in the manufacture and supply of flavors and fragrances used in the food, beverage, personal care, and household products industries. It operates through the following segments: Nourish, Health & Biosciences, Scent and Pharma Solutions. The Nourish segment consists of legacy Taste segment combined with N&B’s Food & Beverage division and the food protection business of N&B’s Health & Biosciences division. The Health & Biosciences business consists of a biotechnology-driven portfolio of enzymes, food cultures, probiotics and specialty ingredients for food, home and personal care, and health and wellness applications. The Scent business creates fragrance compounds, fragrance ingredients and cosmetic ingredients that are integral elements in the world’s finest perfumes and best-known household and personal care products. The Pharma Solutions business produces a vast portfolio including cellulosics and seaweed-based pharma excipients, used to improve the functionality and delivery of active pharmaceutical ingredients, including controlled or modified drug release formulations, and enabling. The company was founded in 1833 and is headquartered in New York, NY.