Shin-Etsu Chemical (OTCMKTS:SHECY) & China Carbon Graphite Group (OTCMKTS:CHGI) Financial Comparison

China Carbon Graphite Group (OTCMKTS:CHGI) and Shin-Etsu Chemical (OTCMKTS:SHECY) are both basic materials companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, valuation, profitability, risk, dividends and earnings.

Profitability

This table compares China Carbon Graphite Group and Shin-Etsu Chemical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
China Carbon Graphite Group	N/A	N/A	N/A
Shin-Etsu Chemical	18.96%	10.75%	8.93%

Volatility & Risk

China Carbon Graphite Group has a beta of -1.58, indicating that its share price is 258% less volatile than the S&P 500. Comparatively, Shin-Etsu Chemical has a beta of 1.36, indicating that its share price is 36% more volatile than the S&P 500.

Insider and Institutional Ownership

0.0% of Shin-Etsu Chemical shares are owned by institutional investors. 5.5% of China Carbon Graphite Group shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares China Carbon Graphite Group and Shin-Etsu Chemical”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
China Carbon Graphite Group	N/A	N/A	N/A	N/A	N/A
Shin-Etsu Chemical	$16.82 billion	4.35	$3.56 billion	$0.86	21.44

Shin-Etsu Chemical has higher revenue and earnings than China Carbon Graphite Group.

Analyst Ratings

This is a summary of recent recommendations for China Carbon Graphite Group and Shin-Etsu Chemical, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
China Carbon Graphite Group	0	0	0	0	0.00
Shin-Etsu Chemical	0	1	0	0	2.00

Given China Carbon Graphite Group’s higher probable upside, research analysts plainly believe China Carbon Graphite Group is more favorable than Shin-Etsu Chemical.

Summary

Shin-Etsu Chemical beats China Carbon Graphite Group on 7 of the 9 factors compared between the two stocks.

About China Carbon Graphite Group

China Carbon Graphite Group, Inc., together with its subsidiaries, engages in the research and development, manufacture, rework, and sale of graphene, graphene oxide, carbon graphite felt, and graphite bipolar plates in the People's Republic of China. Its graphene oxide is used as a conductive agent in lithium ion batteries, super capacitors, rubber and plastic additives, conductive inks, special coatings, transparent conductive thin films, and chips; and graphite bipolar plates are used in solar power storage. The company operates roycarbon.com, a business-to-business and business-to-consumers Internet portal for graphite related products. China Carbon Graphite Group, Inc. was founded in 1986 and is based in Diamond Bar, California.

About Shin-Etsu Chemical

Shin-Etsu Chemical Co., Ltd. provides infrastructure, electronics, and functional materials in Japan. It is also involved in processing and specialized related services. The company operates through Infrastructure Materials; Electronics Materials; Functional Materials; and Processing and Specialized Services segments. In addition, it offers cellulose derivatives, synthetic pheromones, aroma chemicals, dielectric and LED/ semiconductor materials, silanes, photoresists, chlorides, caustic soda, liquid fluoroelastomers, polyvinyl chloride and vinyl acetate resin, silicones, and silicones processed goods. Further, the company offers pellicles, photomask blanks, synthetic quartz/ quartz cloth, pyrolytic boron nitride, LIB anode material, and silicon metal. Additionally, it provides rare earth magnets, compound semiconductors, and oxide single crystals. The company was formerly known as Shin-Etsu Nitrogen Fertilizer Co., Ltd. and changed its name to Shin-Etsu Chemical Co., Ltd. in 1940. Shin-Etsu Chemical Co., Ltd. was incorporated in 1926 and is headquartered in Tokyo, Japan.