Comparing ICL Group (NYSE:ICL) & Resonac (OTCMKTS:SHWDY)

Resonac (OTCMKTS:SHWDY) and ICL Group (NYSE:ICL) are both materials companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, profitability, valuation, earnings, risk and dividends.

Volatility & Risk

Resonac has a beta of 0.83, indicating that its stock price is 17% less volatile than the S&P 500. Comparatively, ICL Group has a beta of 0.97, indicating that its stock price is 3% less volatile than the S&P 500.

Insider & Institutional Ownership

13.4% of ICL Group shares are owned by institutional investors. 0.3% of ICL Group shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Resonac and ICL Group”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Resonac	$9.01 billion	1.40	$194.51 million	$1.84	35.81
ICL Group	$7.15 billion	0.82	$226.00 million	$0.24	19.02

ICL Group has lower revenue, but higher earnings than Resonac. ICL Group is trading at a lower price-to-earnings ratio than Resonac, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings and recommmendations for Resonac and ICL Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Resonac	0	0	0	1	4.00
ICL Group	0	2	0	0	2.00

ICL Group has a consensus price target of $6.00, indicating a potential upside of 31.43%. Given ICL Group’s higher probable upside, analysts clearly believe ICL Group is more favorable than Resonac.

Profitability

This table compares Resonac and ICL Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Resonac	4.05%	7.54%	2.61%
ICL Group	3.99%	8.44%	4.16%

Dividends

Resonac pays an annual dividend of $0.27 per share and has a dividend yield of 0.4%. ICL Group pays an annual dividend of $0.17 per share and has a dividend yield of 3.7%. Resonac pays out 14.7% of its earnings in the form of a dividend. ICL Group pays out 70.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

About Resonac

Resonac is a Japanese materials and chemicals group serving industries that include semiconductors, electronics, mobility and industrial manufacturing. Its offerings include semiconductor packaging and process materials, electronic materials, specialty chemicals, carbon products and materials used in vehicle components. The company was established in 2023 through the integration of Showa Denko and Showa Denko Materials, which was formerly Hitachi Chemical. The combined business brought together chemical and materials operations with a focus on supplying products for advanced technologies and industrial applications.

About ICL Group

ICL Group Ltd. is an Israel-based specialty minerals and chemicals company. Its business draws on resources including potash, phosphate and bromine to produce products for agriculture, food, industrial and other markets. The company supplies crop nutrition products and specialty fertilizers, as well as phosphate ingredients used in food and other applications. Its industrial products include bromine-based compounds, flame retardants, water-treatment chemicals and specialty minerals. ICL also develops materials for energy storage and other advanced applications.