Head to Head Analysis: Constellium (CSTM) vs. The Competition

Constellium (NYSE:CSTM) is one of 1,989 public companies in the “Metals & Mining” industry, but how does it compare to its competitors? We will compare Constellium to similar businesses based on the strength of its institutional ownership, profitability, valuation, risk, earnings, dividends and analyst recommendations.

Volatility and Risk

Constellium has a beta of 1.57, meaning that its stock price is 57% more volatile than the S&P 500. Comparatively, Constellium’s competitors have a beta of 0.99, meaning that their average stock price is 1% less volatile than the S&P 500.

Insider and Institutional Ownership

92.6% of Constellium shares are owned by institutional investors. Comparatively, 16.1% of shares of all “Metals & Mining” companies are owned by institutional investors. 1.2% of Constellium shares are owned by insiders. Comparatively, 17.6% of shares of all “Metals & Mining” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Constellium and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Constellium	5.69%	51.66%	9.63%
Constellium Competitors	-1,158,604,987,491,368,400.00%	48.22%	-2.34%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Constellium and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Constellium	0	3	4	0	2.57
Constellium Competitors	6279	22348	31915	1744	2.47

Constellium currently has a consensus price target of $35.80, suggesting a potential upside of 21.43%. As a group, “Metals & Mining” companies have a potential upside of 29.41%. Given Constellium’s competitors higher probable upside, analysts plainly believe Constellium has less favorable growth aspects than its competitors.

Valuation & Earnings

This table compares Constellium and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Constellium	$8.45 billion	$273.00 million	7.60
Constellium Competitors	$4.90 billion	$267.28 million	-21.54

Constellium has higher revenue and earnings than its competitors. Constellium is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Summary

Constellium beats its competitors on 10 of the 13 factors compared.

Constellium Company Profile

Constellium SE, together with its subsidiaries, engages in the design, manufacture, and sale of rolled and extruded aluminum products for the packaging, aerospace, automotive, defense, and other transportation and industry end-markets. The company operates through three segments: Packaging & Automotive Rolled Products, Aerospace & Transportation, and Automotive Structures & Industry. The Packaging & Automotive Rolled Products segment produces rolled aluminum products, including can stock and closure stock for the beverage and food industry, as well as foil stock for the flexible packaging market. This segment also supplies automotive body sheets and heat exchangers for the automotive market; and specialty reflective sheets. The Aerospace & Transportation segment provides rolled aluminum products, including aerospace plates, sheets, and extrusions; and aerospace wing skins, as well as plates and sheets for use in transportation, industry, and defense applications. The Automotive Structures & Industry segment offers extruded aluminium products and aluminium structural components for the automotive industry, including crash-management systems, body structures, side impact beams, and battery enclosures; and fabricates hard and soft alloy extruded profiles for various industry applications in the automotive, engineering, rail, and other transportation end markets. This segment also provides downstream technology and services, which include pre-machining, surface treatment, research and development, and technical support services. It sells its products directly or through distributors in France, Germany, the Czech Republic, the United Kingdom, Switzerland, and the United States, as well as Shanghai, and Seoul. The company was incorporated in 2010 and is headquartered in Paris, France.