Aemetis (NASDAQ:AMTX) and International Flavors & Fragrances (NYSE:IFF) are both oils/energy companies, but which is the superior investment? We will contrast the two companies based on the strength of their earnings, dividends, profitability, institutional ownership, analyst recommendations, risk and valuation.
Insider & Institutional Ownership
12.9% of Aemetis shares are held by institutional investors. Comparatively, 94.4% of International Flavors & Fragrances shares are held by institutional investors. 28.3% of Aemetis shares are held by insiders. Comparatively, 0.4% of International Flavors & Fragrances shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.
Analyst Recommendations
This is a breakdown of current ratings and price targets for Aemetis and International Flavors & Fragrances, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
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Aemetis | 0 | 0 | 1 | 0 | 3.00 |
International Flavors & Fragrances | 0 | 4 | 8 | 0 | 2.67 |
International Flavors & Fragrances has a consensus price target of $141.1167, suggesting a potential upside of 4.14%. Given International Flavors & Fragrances' higher probable upside, analysts clearly believe International Flavors & Fragrances is more favorable than Aemetis.
Earnings & Valuation
This table compares Aemetis and International Flavors & Fragrances' top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
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Aemetis | $202 million | 1.06 | $-35,720,000.00 | ($1.75) | -5.62 |
International Flavors & Fragrances | $5.14 billion | 2.82 | $455.87 million | $6.17 | 21.96 |
International Flavors & Fragrances has higher revenue and earnings than Aemetis. Aemetis is trading at a lower price-to-earnings ratio than International Flavors & Fragrances, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
Aemetis has a beta of 0.09, meaning that its share price is 91% less volatile than the S&P 500. Comparatively, International Flavors & Fragrances has a beta of 0.97, meaning that its share price is 3% less volatile than the S&P 500.
Profitability
This table compares Aemetis and International Flavors & Fragrances' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
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Aemetis | -15.97% | N/A | -25.71% |
International Flavors & Fragrances | 7.44% | 11.00% | 5.10% |
Summary
International Flavors & Fragrances beats Aemetis on 12 of the 14 factors compared between the two stocks.