Reviewing Mativ (NYSE:MATV) and Elementis (OTCMKTS:ELMTY)

Mativ (NYSE:MATV) and Elementis (OTCMKTS:ELMTY) are both small-cap basic materials companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, valuation, risk and earnings.

Earnings and Valuation

This table compares Mativ and Elementis”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mativ	$1.98 billion	0.27	-$48.70 million	($8.35)	-1.16
Elementis	$738.30 million	1.77	-$47.80 million	N/A	N/A

Elementis has lower revenue, but higher earnings than Mativ.

Volatility & Risk

Mativ has a beta of 0.83, suggesting that its share price is 17% less volatile than the S&P 500. Comparatively, Elementis has a beta of 0.32, suggesting that its share price is 68% less volatile than the S&P 500.

Dividends

Mativ pays an annual dividend of $0.40 per share and has a dividend yield of 4.1%. Elementis pays an annual dividend of $0.08 per share and has a dividend yield of 0.9%. Mativ pays out -4.8% of its earnings in the form of a dividend. Mativ has increased its dividend for 1 consecutive years. Mativ is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Insider & Institutional Ownership

95.0% of Mativ shares are owned by institutional investors. 1.0% of Mativ shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings and target prices for Mativ and Elementis, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mativ	1	1	1	0	2.00
Elementis	0	0	0	0	0.00

Mativ presently has a consensus price target of $10.00, indicating a potential upside of 3.20%. Given Mativ’s stronger consensus rating and higher probable upside, equities analysts clearly believe Mativ is more favorable than Elementis.

Profitability

This table compares Mativ and Elementis’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mativ	-23.09%	4.12%	1.16%
Elementis	N/A	N/A	N/A

Summary

Mativ beats Elementis on 12 of the 15 factors compared between the two stocks.

About Mativ

Mativ Holdings, Inc., together with its subsidiaries, manufactures and sells specialty materials in the United States, Europe, the Asia Pacific, the Americas, and internationally. The company operates through two segments, Advanced Technical Materials and Fiber-Based Solutions. The Advanced Technical Materials manufactures and sells various engineered polymer, resin and fiber-based substrates, nets, films, adhesive tapes, and other nonwovens for the filtration, protective solutions, release liners, and healthcare end-markets. This segment sells its products directly, as well as through sales agents and distributors. The Fiber-Based Solutions segment produces packaging and specialty paper products. This segment provides premium packaging products that are used for wine, spirits and beer labels, folding cartons, box wrap, bags, hang tags, and stored value cards servicing retail, cosmetics, spirits, and electronics end-use markets; and premium papers, which are used in commercial printing services, advertising collateral, stationery, corporate identity packages and brochures, direct mail, business cards, and other uses. It also offers branded paper-based products for the consumer channel, such as bright papers, cardstock, stationery paper, envelopes, journals, and planners. This segment distributes its products through authorized paper distributors, converters, retailers, and specialty business converters, as well as directly to end-users. The company was formerly known as Schweitzer-Mauduit International, Inc. and changed its name to Mativ Holdings, Inc. in July 2022. Mativ Holdings, Inc. was incorporated in 1995 and is headquartered in Alpharetta, Georgia.

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.