Contrasting American Biltrite (OTCMKTS:ABLT) & Caesarstone (NASDAQ:CSTE)

Caesarstone (NASDAQ:CSTEGet Free Report) and American Biltrite (OTCMKTS:ABLTGet Free Report) are both small-cap construction companies, but which is the better business? We will compare the two companies based on the strength of their valuation, earnings, institutional ownership, profitability, dividends, risk and analyst recommendations.

Profitability

This table compares Caesarstone and American Biltrite’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Caesarstone -18.44% -19.35% -9.18%
American Biltrite -4.16% -34.23% -6.13%

Volatility & Risk

Caesarstone has a beta of -0.09, meaning that its stock price is 109% less volatile than the S&P 500. Comparatively, American Biltrite has a beta of -0.3, meaning that its stock price is 130% less volatile than the S&P 500.

Institutional and Insider Ownership

33.7% of Caesarstone shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Caesarstone and American Biltrite, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Caesarstone 1 0 0 0 1.00
American Biltrite 0 0 0 0 0.00

Earnings and Valuation

This table compares Caesarstone and American Biltrite”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Caesarstone $443.22 million 0.18 -$42.83 million ($2.03) -1.15
American Biltrite $188.74 million 0.02 -$2.64 million ($229.80) -0.44

American Biltrite has lower revenue, but higher earnings than Caesarstone. Caesarstone is trading at a lower price-to-earnings ratio than American Biltrite, indicating that it is currently the more affordable of the two stocks.

Summary

Caesarstone beats American Biltrite on 7 of the 11 factors compared between the two stocks.

About Caesarstone

(Get Free Report)

Caesarstone Ltd., together with its subsidiaries, designs, develops, manufactures, and markets engineered stone and other materials under the Caesarstone brand in the United States, Canada, Latin America, Australia, Asia, Europe, the Middle East and Africa, and Israel. The company’s engineered stone slabs are primarily used as indoor and outdoor kitchen countertops in the renovation and remodeling, and residential construction sectors. Its products are also used in other applications, such as vanity tops, wall panels, back splashes, floor tiles, stairs, furniture, and other interior and exterior surfaces that are used in various residential and non-residential applications. The company also offers porcelain products under the Lioli brand for countertops, flooring, and cladding applications; sells natural stone, sinks, and various ancillary fabrication tools and materials; and resells natural stones, as well as various ancillaries, and fabrication and installation accessories, as well as provides fabrication and installation services. It sells its products directly to wholesalers, resellers, and fabricators; and through direct sales force and indirect network of independent distributors. The company was formerly known as Caesarstone Sdot Yam Ltd. and changed its name to Caesarstone Ltd. in June 2016. Caesarstone Ltd. was founded in 1987 and is headquartered in Menashe, Israel.

About American Biltrite

(Get Free Report)

American Biltrite Inc., together with its subsidiaries, provides tape, jewelry, flooring, and rubber products worldwide. The company produces and offers pressure sensitive tapes, films, and protective sheeting under the American Biltrite and Ideal brands, which are used in various markets, such as automotive and transportation; construction; shoe/footwear; graphic arts, print, and signage; and various other industrial and consumer applications. It also manufactures and distributes commercial flooring primarily for healthcare, educational, and institutional sectors; and performance sheet rubber in North America, as well as designs and supplies fashion jewelry to department stores under the brands of Guess, T Tahari, Robert Rose, Berry, and Jessica McClintock. The company sells its tape products through sales organizations, distributors, and select manufacturers’ representatives. American Biltrite Inc. was founded in 1908 and is based in Wellesley Hills, Massachusetts.

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