Contrasting Intertape Polymer Group (OTCMKTS:ITPOF) & Cascades (OTCMKTS:CADNF)

Intertape Polymer Group (OTCMKTS:ITPOF) and Cascades (OTCMKTS:CADNF) are both materials companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, dividends, valuation, profitability, risk, earnings and institutional ownership.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Intertape Polymer Group and Cascades, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Intertape Polymer Group	0	0	0	0	0.00
Cascades	0	1	4	0	2.80

Earnings and Valuation

This table compares Intertape Polymer Group and Cascades”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Intertape Polymer Group	$1.53 billion	1.22	$67.81 million	($0.15)	-209.33
Cascades	N/A	N/A	N/A	($1.00)	-12.54

Intertape Polymer Group has higher revenue and earnings than Cascades. Intertape Polymer Group is trading at a lower price-to-earnings ratio than Cascades, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Intertape Polymer Group and Cascades’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Intertape Polymer Group	-0.50%	35.79%	9.19%
Cascades	N/A	N/A	N/A

Dividends

Intertape Polymer Group pays an annual dividend of $0.68 per share and has a dividend yield of 2.2%. Cascades pays an annual dividend of $0.16 per share and has a dividend yield of 1.3%. Intertape Polymer Group pays out -453.3% of its earnings in the form of a dividend. Cascades pays out -16.0% 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. Intertape Polymer Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Insider and Institutional Ownership

21.8% of Cascades shares are held by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Intertape Polymer Group beats Cascades on 6 of the 11 factors compared between the two stocks.

About Intertape Polymer Group

Intertape Polymer Group Inc. provides packaging and protective solutions for the industrial markets in North America, Europe, and internationally. The company offers pressure-sensitive and water-activated tapes; packaging equipment; industrial and performance specialty tapes, such as masking, duct, electrical, foil, process indicator, sheathing, sports, and reinforced filament tapes; protective packaging solutions, including inflatable systems, mailer products, bubble cushioning, paper void fills, thermal solutions, and protective foam roll stocks; stencil products; shrink films; stretch and lumber wraps; structure and geomembrane fabrics; non-manufactured flexible intermediate bulk containers; specialized polyolefin films; and engineered coated products for industrial and retail use. It sells its products through various distribution channels. The company serves food and beverage, general manufacturing, fulfillment/e-commerce, retail and transportation, building and construction, consumer, oil and gas, aerospace, marine, composites, moving and storage, general manufacturing, mailing, HVAC, and military and medical applications. Intertape Polymer Group Inc. was founded in 1981 and is headquartered in Saint-Laurent, Canada.

About Cascades

Cascades Inc. produces, converts, and markets packaging and tissue products in Canada and the United States. The company operates through three segments: Containerboard, Specialty Products, and Tissue Papers. It offers various packaging solutions and tissue products comprised of recycled fibers; tissue papers, comprising parent rolls of virgin and recycled fibres; specialty products, including uncoated recycled boxboards; and containerboards. It also engages in the recovery and recycling activities. Cascades Inc. was incorporated in 1964 and is headquartered in Kingsey Falls, Canada.