Methanex Corporation (NASDAQ: MEOH) is one of 34 publicly-traded companies in the “Commodity Chemicals” industry, but how does it compare to its rivals? We will compare Methanex Corporation to related businesses based on the strength of its institutional ownership, analyst recommendations, profitability, dividends, valuation, risk and earnings.

Institutional and Insider Ownership

81.9% of Methanex Corporation shares are held by institutional investors. Comparatively, 69.0% of shares of all “Commodity Chemicals” companies are held by institutional investors. 1.0% of Methanex Corporation shares are held by insiders. Comparatively, 8.3% of shares of all “Commodity Chemicals” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Methanex Corporation and its rivals gross revenue, earnings per share (EPS) and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Methanex Corporation $2.58 billion $572.88 million 20.42
Methanex Corporation Competitors $4.15 billion $892.82 million 34.30

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

Profitability

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

Net Margins Return on Equity Return on Assets
Methanex Corporation 8.92% 12.43% 4.96%
Methanex Corporation Competitors -29.86% 24.06% 5.26%

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Methanex Corporation and its rivals, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Methanex Corporation 1 4 8 0 2.54
Methanex Corporation Competitors 175 941 1209 56 2.48

Methanex Corporation currently has a consensus price target of $59.62, indicating a potential upside of 16.32%. As a group, “Commodity Chemicals” companies have a potential downside of 3.43%. Given Methanex Corporation’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Methanex Corporation is more favorable than its rivals.

Dividends

Methanex Corporation pays an annual dividend of $1.20 per share and has a dividend yield of 2.3%. Methanex Corporation pays out 47.8% of its earnings in the form of a dividend. As a group, “Commodity Chemicals” companies pay a dividend yield of 1.8% and pay out 62.9% of their earnings in the form of a dividend. Methanex Corporation is clearly a better dividend stock than its rivals, given its higher yield and lower payout ratio.

Risk and Volatility

Methanex Corporation has a beta of 1.76, meaning that its share price is 76% more volatile than the S&P 500. Comparatively, Methanex Corporation’s rivals have a beta of 1.17, meaning that their average share price is 17% more volatile than the S&P 500.

Summary

Methanex Corporation beats its rivals on 8 of the 15 factors compared.

About Methanex Corporation

Methanex Corp is a Canada-based producer and supplier of methanol to a range of international markets. The Company operates production sites in Canada, Chile, Egypt, New Zealand, the United States, as well as Trinidad and Tobago. Its global operations are supported by a global supply chain of terminals, storage facilities and a fleet of methanol ocean tankers. The Company’s subsidiary, Waterfront Shipping Company Limited, operates its fleet, which is made up of over 20 vessels ranging from 3,000 to 50,000 deadweight tons of capacity. It has over three production facilities in New Zealand that supply methanol primarily to customers in Asia Pacific. The Company operates over two plants in Trinidad, Titan and Atlas, which supply methanol to markets in North America, Europe, Asia Pacific and South America. Its joint venture facility in Egypt supplies methanol to markets in Europe and Asia Pacific. Its plant in Medicine Hat, Alberta, supplies methanol to customers in North America.

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