Analyzing LyondellBasell Industries (NYSE:LYB) and Enlightify (NYSE:ENFY)

LyondellBasell Industries (NYSE:LYB) and Enlightify (NYSE:ENFY) are both basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, valuation, analyst recommendations, institutional ownership, profitability and dividends.

Analyst Ratings

This is a summary of current recommendations and price targets for LyondellBasell Industries and Enlightify, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LyondellBasell Industries	4	9	7	2	2.32
Enlightify	1	0	0	0	1.00

LyondellBasell Industries presently has a consensus target price of $76.76, indicating a potential upside of 2.41%. Given LyondellBasell Industries’ stronger consensus rating and higher probable upside, equities analysts clearly believe LyondellBasell Industries is more favorable than Enlightify.

Volatility and Risk

LyondellBasell Industries has a beta of 0.32, suggesting that its share price is 68% less volatile than the S&P 500. Comparatively, Enlightify has a beta of -4.51, suggesting that its share price is 551% less volatile than the S&P 500.

Institutional & Insider Ownership

71.2% of LyondellBasell Industries shares are owned by institutional investors. Comparatively, 0.1% of Enlightify shares are owned by institutional investors. 0.1% of LyondellBasell Industries shares are owned by insiders. Comparatively, 14.2% of Enlightify shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares LyondellBasell Industries and Enlightify”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
LyondellBasell Industries	$30.15 billion	0.80	-$738.00 million	($2.49)	-30.10
Enlightify	$79.21 million	0.00	-$28.41 million	($0.86)	0.00

Enlightify has lower revenue, but higher earnings than LyondellBasell Industries. LyondellBasell Industries is trading at a lower price-to-earnings ratio than Enlightify, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares LyondellBasell Industries and Enlightify’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
LyondellBasell Industries	-2.68%	5.68%	1.77%
Enlightify	-22.98%	-18.78%	-11.03%

Summary

LyondellBasell Industries beats Enlightify on 11 of the 15 factors compared between the two stocks.

About LyondellBasell Industries

LyondellBasell Industries N.V. operates as a chemical company in the United States, Germany, Mexico, Italy, Poland, France, Japan, China, the Netherlands, and internationally. The company operates in six segments: Olefins and PolyolefinsAmericas; Olefins and PolyolefinsEurope, Asia, International; Intermediates and Derivatives; Advanced Polymer Solutions; Refining; and Technology. It produces and markets olefins and co-products, polyethylene, and polypropylene; and propylene oxide and derivatives; oxyfuels and related products; and intermediate chemicals, such as styrene monomer, acetyls, ethylene oxide, and ethylene glycol. In addition, the company produce and markets compounding and solutions including polypropylene compounds, engineered plastics, masterbatches, engineered composites, colors and powders, and advanced polymers including catalloy and polybutene-1; and refines heavy, high-sulfur crude oil and other crude oils, as well as refined products, including gasoline and distillates. Further, it develops and licenses chemical and polyolefin process technologies; manufactures and sells polyolefin catalysts; and serves food packaging, home furnishings, automotive components, and paints and coatings applications. LyondellBasell Industries N.V. was incorporated in 2009 and is headquartered in Houston, Texas.

About Enlightify

Enlightify, Inc. engages in the research, development, production, and sale of various types of fertilizers and agricultural products. It operates through the following segments: Jinong, Gufeng, and Yuxing. The Jinong segment includes fertilizer products, with focus on humic acid-based compound fertilizer. The Gufeng segment refers to the compound fertilizer, blended fertilizer, organic compound fertilizer, slow-release fertilizers, highly concentrated water-soluble fertilizers, and mixed organic-inorganic compound fertilizer. The Yuxing segment develops and produces agricultural products, such as top-grade fruits, vegetables, flowers, and colored seedlings. The company was founded by Tao Li on February 6, 1987 and is headquartered in Xi’an, China.