Analyzing Minerals Technologies (MTX) & NL Industries (NL)

Minerals Technologies (NYSE: MTX) and NL Industries (NYSE:NL) are both basic materials companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, earnings, dividends, analyst recommendations, institutional ownership, risk and valuation.

Analyst Recommendations

How to Become a New Pot Stock Millionaire

This is a breakdown of current ratings and price targets for Minerals Technologies and NL Industries, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Minerals Technologies 0 1 0 0 2.00
NL Industries 1 0 0 0 1.00

NL Industries has a consensus price target of $14.00, suggesting a potential upside of 62.79%. Given NL Industries’ higher probable upside, analysts clearly believe NL Industries is more favorable than Minerals Technologies.

Insider and Institutional Ownership

96.0% of Minerals Technologies shares are owned by institutional investors. Comparatively, 10.5% of NL Industries shares are owned by institutional investors. 2.4% of Minerals Technologies shares are owned by insiders. Comparatively, 0.1% of NL Industries shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Minerals Technologies and NL Industries’ top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Minerals Technologies $1.68 billion 1.52 $195.10 million $4.59 15.63
NL Industries $112.00 million 3.74 $116.10 million N/A N/A

Minerals Technologies has higher revenue and earnings than NL Industries.

Risk & Volatility

Minerals Technologies has a beta of 2.27, suggesting that its stock price is 127% more volatile than the S&P 500. Comparatively, NL Industries has a beta of 2.93, suggesting that its stock price is 193% more volatile than the S&P 500.

Dividends

Minerals Technologies pays an annual dividend of $0.20 per share and has a dividend yield of 0.3%. NL Industries does not pay a dividend. Minerals Technologies pays out 4.4% of its earnings in the form of a dividend.

Profitability

This table compares Minerals Technologies and NL Industries’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Minerals Technologies 11.64% 13.89% 5.55%
NL Industries 103.57% 29.43% 16.67%

Minerals Technologies Company Profile

Minerals Technologies Inc. develops, produces, and markets various specialty mineral, mineral-based, and synthetic mineral products, and supporting systems and services worldwide. The company's Specialty Minerals segment produces and sells precipitated calcium carbonate and quicklime; and provides natural mineral products comprising limestone and talc. This segment's products are used in paper, building materials, paint and coatings, glass, ceramic, polymer, food, automotive, and pharmaceutical industries. Its Performance Materials segment supplies bentonite and bentonite-related products, as well as chromite and leonardite. This segment offers metal casting products; household, personal care, and specialty products; and basic minerals, environmental products, and building materials. In addition, this segment provides products for non-residential construction, environmental, and infrastructure projects, as well as for construction project customers. It company's Refractories segment offers monolithic and shaped refractory materials; specialty products, services, and application and measurement equipment; and calcium metal and metallurgical wire products that are used in the applications of steel, non-ferrous metal, and glass industries. Its Energy Services segment provides offshore filtration and well testing services to the oil and gas industry. The company markets its products primarily through its direct sales force, as well as regional distributors. Minerals Technologies Inc. was founded in 1968 and is headquartered in New York City, New York.

NL Industries Company Profile

NL Industries, Inc. is a holding company. The Company operates in the component products industry through its subsidiary, CompX International Inc. (CompX). The Company operates in the chemicals industry through its non-controlling interest in Kronos Worldwide, Inc. (Kronos). The Company, through Compx, manufactures engineered components that are sold to a range of industries, including recreational transportation (including boats), postal, office and institutional furniture, cabinetry, tool storage, healthcare, gas stations and vending equipment. Kronos is a global producer and marketer of value-added titanium dioxide pigments (TiO2), a base industrial product used in imparting whiteness, brightness and opacity to a range of customer applications and end use markets, including coatings, plastics, paper, inks, food, cosmetics, and other industrial and consumer products. Kronos has production facilities in Europe and North America.

Receive News & Ratings for Minerals Technologies Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Minerals Technologies and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply