5N Plus (OTCMKTS:FPLSF) & Corteva (NYSE:CTVA) Critical Analysis

Corteva (NYSE:CTVA) and 5N Plus (OTCMKTS:FPLSF) are both materials companies, but which is the better business? We will compare the two companies based on the strength of their valuation, risk, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Analyst Ratings

This is a summary of current ratings and price targets for Corteva and 5N Plus, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Corteva	1	6	16	0	2.65
5N Plus	0	1	2	1	3.00

Corteva presently has a consensus price target of $60.59, indicating a potential upside of 387.61%. Given Corteva’s higher probable upside, analysts clearly believe Corteva is more favorable than 5N Plus.

Earnings and Valuation

This table compares Corteva and 5N Plus”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Corteva	$17.40 billion	0.48	$1.09 billion	$1.51	8.23
5N Plus	$391.06 million	4.31	$50.57 million	$0.70	26.77

Corteva has higher revenue and earnings than 5N Plus. Corteva is trading at a lower price-to-earnings ratio than 5N Plus, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

81.5% of Corteva shares are owned by institutional investors. Comparatively, 0.1% of 5N Plus shares are owned by institutional investors. 0.2% of Corteva shares are owned by insiders. Comparatively, 3.9% of 5N Plus shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk & Volatility

Corteva has a beta of 0.57, indicating that its share price is 43% less volatile than the S&P 500. Comparatively, 5N Plus has a beta of 1.88, indicating that its share price is 88% more volatile than the S&P 500.

Profitability

This table compares Corteva and 5N Plus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Corteva	5.66%	10.18%	6.00%
5N Plus	14.14%	26.36%	11.28%

Summary

5N Plus beats Corteva on 9 of the 15 factors compared between the two stocks.

About Corteva

Corteva, Inc. operates in the agriculture business. It operates through two segments, Seed and Crop Protection. The Seed segment develops and supplies advanced germplasm and traits that produce optimum yield for farms. It offers trait technologies that enhance resistance to weather, disease, insects, and herbicides used to control weeds, as well as food and nutritional characteristics. This segment also provides digital solutions that assist farmer decision-making with a view to optimize product selection, and maximize yield and profitability. The Crop Protection segment offers products that protect against weeds, insects and other pests, and diseases, as well as enhances crop health above and below ground through nitrogen management and seed-applied technologies. This segment provides herbicides, insecticides, nitrogen stabilizers, and pasture and range management herbicides. It serves agricultural input industry. The company operates in the United States, Canada, Latin America, the Asia Pacific, Europe, the Middle East, and Africa. Corteva, Inc. was incorporated in 2018 and is headquartered in Indianapolis, Indiana.

About 5N Plus

5N Plus Inc. produces and sells specialty metals and chemicals in North America, Europe, and Asia. It operates through two segments, Specialty Semiconductors and Performance Materials. The company offers semiconductor compounds, semiconductor wafers, metals, epitaxial semiconductor substrates, and solar cells. It also provides active pharmaceutical ingredients, animal feed additives, specialized chemicals, commercial grade metals, alloys, engineered powders, and recycling services. The company serves renewable energy, security, space, pharmaceutical, medical imaging, manufacturing, electronic, consumer, and industrial application markets. 5N Plus Inc. is headquartered in Montreal, Canada.