Head to Head Review: O-I Glass (NYSE:OI) & Smurfit Westrock (NYSE:SW)

O-I Glass (NYSE:OI) and Smurfit Westrock (NYSE:SW) are both materials companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, risk, institutional ownership, dividends, profitability, valuation and analyst recommendations.

Profitability

This table compares O-I Glass and Smurfit Westrock’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
O-I Glass	-18.13%	10.40%	1.43%
Smurfit Westrock	1.59%	4.60%	1.85%

Volatility & Risk

O-I Glass has a beta of 0.66, suggesting that its share price is 34% less volatile than the S&P 500. Comparatively, Smurfit Westrock has a beta of 0.96, suggesting that its share price is 4% less volatile than the S&P 500.

Earnings & Valuation

This table compares O-I Glass and Smurfit Westrock”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
O-I Glass	$6.43 billion	0.17	-$129.00 million	($7.52)	-0.96
Smurfit Westrock	$31.18 billion	0.82	$699.00 million	$0.94	51.82

Smurfit Westrock has higher revenue and earnings than O-I Glass. O-I Glass is trading at a lower price-to-earnings ratio than Smurfit Westrock, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

97.2% of O-I Glass shares are owned by institutional investors. Comparatively, 83.4% of Smurfit Westrock shares are owned by institutional investors. 1.0% of O-I Glass shares are owned by insiders. Comparatively, 0.5% of Smurfit Westrock shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations for O-I Glass and Smurfit Westrock, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
O-I Glass	2	3	4	0	2.22
Smurfit Westrock	0	2	11	0	2.85

O-I Glass presently has a consensus target price of $10.31, suggesting a potential upside of 43.33%. Smurfit Westrock has a consensus target price of $57.69, suggesting a potential upside of 18.44%. Given O-I Glass’ higher probable upside, equities research analysts clearly believe O-I Glass is more favorable than Smurfit Westrock.

Summary

Smurfit Westrock beats O-I Glass on 10 of the 14 factors compared between the two stocks.

About O-I Glass

O-I Glass, Inc., through its subsidiaries, engages in the manufacture and sale of glass containers to food and beverage manufacturers primarily in the Americas, Europe, and internationally. The company produces glass containers for alcoholic beverages, including beer, flavored malt beverages, spirits, and wine. It is also involved in the production of glass packaging for various food items, soft drinks, tea, juices, and pharmaceuticals. In addition, the company offers glass containers in a range of sizes, shapes, and colors. It sells its products directly to customers under annual or multi-year supply agreements, as well as through distributors. O-I Glass, Inc. was founded in 1903 and is based in Perrysburg, Ohio.

About Smurfit Westrock

Smurfit Westrock Plc, together with its subsidiaries, manufactures, distributes, and sells containerboard, corrugated containers, and other paper-based packaging products in Ireland and internationally. The company produces containerboard that it converts into corrugated containers or sells to third parties, as well as produces other types of paper, such as consumer packaging board, sack paper, graphic paper, solid board and graphic board, and other paper-based packaging products, such as consumer packaging, solid board packaging, paper sacks, and other packaging products, including bag-in-box. It also produces linerboard and corrugated medium, paperboard, and non-packaging grades of paper, as well as converted products, such as folding cartons and corrugated boxes, and other products; recycled paper-based packaging products; and packaging machinery. The company primarily serves food and beverage, e-commerce, retail, consumer goods, industrial, and foodservice markets. Smurfit Westrock Plc was founded in 1934 and is headquartered in Dublin, Ireland.