Analyzing TriMas (NASDAQ:TRS) and Mayr-Melnhof Karton (OTCMKTS:MNHFF)

Mayr-Melnhof Karton (OTCMKTS:MNHFF) 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 dividends, risk, analyst recommendations, profitability, institutional ownership, earnings and valuation.

Insider & Institutional Ownership

99.4% of TriMas shares are owned by institutional investors. 17.5% of TriMas shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Mayr-Melnhof Karton and TriMas”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mayr-Melnhof Karton	N/A	N/A	N/A	$6.35	14.59
TriMas	$1.04 billion	1.33	$120.14 million	$24.03	1.60

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

Profitability

This table compares Mayr-Melnhof Karton and TriMas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mayr-Melnhof Karton	N/A	N/A	N/A
TriMas	104.22%	6.41%	3.71%

Dividends

Mayr-Melnhof Karton pays an annual dividend of $2.40 per share and has a dividend yield of 2.6%. TriMas pays an annual dividend of $0.16 per share and has a dividend yield of 0.4%. Mayr-Melnhof Karton pays out 37.8% of its earnings in the form of a dividend. TriMas pays out 0.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Analyst Recommendations

This is a summary of recent ratings and price targets for Mayr-Melnhof Karton and TriMas, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mayr-Melnhof Karton	0	0	0	0	0.00
TriMas	0	1	3	0	2.75

TriMas has a consensus price target of $41.50, indicating a potential upside of 7.74%. Given TriMas’ stronger consensus rating and higher possible upside, analysts plainly believe TriMas is more favorable than Mayr-Melnhof Karton.

Summary

TriMas beats Mayr-Melnhof Karton on 11 of the 13 factors compared between the two stocks.

About Mayr-Melnhof Karton

Mayr-Melnhof Karton AG manufactures and sells cartonboard and folding cartons in Germany, Austria, and internationally. It operates through two segments, MM Board & Paper and MM Packaging. The MM Board & Paper segment manufactures and markets various grades of cartonboard products, such as coated cartonboard produced from recycling fibers; and virgin fiber based cartonboard, as well as offers kraft papers and uncoated fine papers. This segment primarily serves printing businesses in the fragmented folding carton industry. The MM Packaging segment processes cartonboard into folding cartons primarily for food industry, as well as for other consumer goods industries. This segment also provides leaflets and labels. Mayr-Melnhof Karton AG was founded in 1950 and is based in Vienna, Austria.

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.