Reviewing Vulcan Materials (NYSE:VMC) and Loma Negra Compania Industrial Argentina (NYSE:LOMA)

Loma Negra Compania Industrial Argentina (NYSE:LOMA) and Vulcan Materials (NYSE:VMC) are both materials companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Risk & Volatility

Loma Negra Compania Industrial Argentina has a beta of 0.77, meaning that its share price is 23% less volatile than the S&P 500. Comparatively, Vulcan Materials has a beta of 0.99, meaning that its share price is 1% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Loma Negra Compania Industrial Argentina and Vulcan Materials, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Loma Negra Compania Industrial Argentina	1	0	1	0	2.00
Vulcan Materials	1	9	12	0	2.50

Vulcan Materials has a consensus price target of $311.94, suggesting a potential upside of 11.37%. Given Vulcan Materials’ stronger consensus rating and higher probable upside, analysts clearly believe Vulcan Materials is more favorable than Loma Negra Compania Industrial Argentina.

Institutional & Insider Ownership

19.3% of Loma Negra Compania Industrial Argentina shares are held by institutional investors. Comparatively, 90.4% of Vulcan Materials shares are held by institutional investors. 0.7% of Vulcan Materials shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Loma Negra Compania Industrial Argentina and Vulcan Materials”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Loma Negra Compania Industrial Argentina	$692.89 million	1.46	$18.87 million	$0.43	20.19
Vulcan Materials	$7.94 billion	4.53	$1.08 billion	$8.45	33.15

Vulcan Materials has higher revenue and earnings than Loma Negra Compania Industrial Argentina. Loma Negra Compania Industrial Argentina is trading at a lower price-to-earnings ratio than Vulcan Materials, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Loma Negra Compania Industrial Argentina and Vulcan Materials’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Loma Negra Compania Industrial Argentina	7.38%	5.45%	3.17%
Vulcan Materials	13.77%	13.03%	6.65%

Summary

Vulcan Materials beats Loma Negra Compania Industrial Argentina on 14 of the 14 factors compared between the two stocks.

About Loma Negra Compania Industrial Argentina

Loma Negra Compañía Industrial Argentina is an Argentine building materials company and one of the country’s leading cement producers. Its business includes the manufacture and sale of cement, ready-mix concrete, aggregates and lime, serving construction and infrastructure customers. The company was founded in 1926 by Alfredo Fortabat in the province of Buenos Aires. Its operations and distribution network serve customers across Argentina.

About Vulcan Materials

Vulcan Materials Company is a U.S.-based producer of construction materials, with its core business focused on aggregates such as crushed stone, sand and gravel. These materials are used in roads, buildings and other infrastructure projects. The company also produces asphalt mix and ready-mixed concrete, serving customers in the construction and infrastructure industries. Its operations are concentrated across the southern and western United States, as well as parts of the Mid-Atlantic region. Founded in 1909 and headquartered in Birmingham, Alabama, Vulcan Materials has grown into one of the largest producers of construction aggregates in the United States.