Greif (NYSE:GEF) vs. O-I Glass (NYSE:OI) Financial Survey

O-I Glass (NYSE:OI) and Greif (NYSE:GEF) are both materials companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, dividends, valuation, institutional ownership and profitability.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for O-I Glass and Greif, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
O-I Glass	2	4	3	0	2.11
Greif	1	3	2	0	2.17

O-I Glass presently has a consensus price target of $9.31, suggesting a potential upside of 59.46%. Greif has a consensus price target of $83.80, suggesting a potential upside of 2.13%. Given O-I Glass’ higher probable upside, analysts clearly believe O-I Glass is more favorable than Greif.

Volatility & Risk

O-I Glass has a beta of 0.68, indicating that its stock price is 32% less volatile than the S&P 500. Comparatively, Greif has a beta of 0.77, indicating that its stock price is 23% less volatile than the S&P 500.

Earnings & Valuation

This table compares O-I Glass and Greif”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
O-I Glass	$6.36 billion	0.14	-$129.00 million	($7.52)	-0.78
Greif	$3.93 billion	0.96	$840.00 million	$3.19	25.72

Greif has lower revenue, but higher earnings than O-I Glass. O-I Glass is trading at a lower price-to-earnings ratio than Greif, indicating that it is currently the more affordable of the two stocks.

Dividends

O-I Glass pays an annual dividend of $0.20 per share and has a dividend yield of 3.4%. Greif pays an annual dividend of $2.48 per share and has a dividend yield of 3.0%. O-I Glass pays out -2.7% of its earnings in the form of a dividend. Greif pays out 77.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Greif has raised its dividend for 4 consecutive years. O-I Glass is clearly the better dividend stock, given its higher yield and lower payout ratio.

Profitability

This table compares O-I Glass and Greif’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
O-I Glass	-18.13%	10.40%	1.43%
Greif	7.53%	8.09%	3.86%

Insider and Institutional Ownership

97.2% of O-I Glass shares are owned by institutional investors. Comparatively, 45.7% of Greif shares are owned by institutional investors. 1.0% of O-I Glass shares are owned by company insiders. Comparatively, 7.7% of Greif 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.

Summary

Greif beats O-I Glass on 10 of the 17 factors compared between the two stocks.

About O-I Glass

O-I Glass, Inc., through its subsidiaries, engages in the manufacture and sale of glass containers to food and beverage manufacturers primarily in the Americas, Europe, and internationally. The company produces glass containers for alcoholic beverages, including beer, flavored malt beverages, spirits, and wine. It is also involved in the production of glass packaging for various food items, soft drinks, tea, juices, and pharmaceuticals. In addition, the company offers glass containers in a range of sizes, shapes, and colors. It sells its products directly to customers under annual or multi-year supply agreements, as well as through distributors. O-I Glass, Inc. was founded in 1903 and is based in Perrysburg, Ohio.

About Greif

Greif, Inc. engages in the production and sale of industrial packaging products and services worldwide. The company operates through Global Industrial Packaging; Paper Packaging & Services; and Land Management segments. The Global Industrial Packaging segment produces and sells industrial packaging products, including steel, fiber, and plastic drums; rigid and flexible intermediate bulk containers; closure systems for industrial packaging products; transit protection products; water bottles, and remanufactured and reconditioned industrial containers; and various services, such as container life cycle management, filling, logistics, warehousing, and other packaging services to chemicals, paints and pigments, food and beverage, petroleum, industrial coatings, agriculture, pharmaceuticals, mineral product, and other industries. The Paper Packaging & Services segment produces and sells containerboards, corrugated sheets and containers, and other corrugated and specialty products to customers in the packaging, automotive, food, and building products markets; and produces and sells coated and uncoated recycled paperboard, and recycled fiber. This segment's corrugated container products are used to ship various products, such as home appliances, small machinery, grocery products, automotive components, books, and furniture, as well as various other applications. The Land Management segment engages in harvesting and regeneration of timber properties; and sale of timberland and special use properties. As of October 31, 2023, this segment owned approximately 175,000 acres of timber properties in the southeastern United States. The company was formerly known as Greif Bros. Corporation and changed its name to Greif, Inc. in 2001. Greif, Inc. was founded in 1877 and is headquartered in Delaware, Ohio.