Reviewing Imerys (OTCMKTS:IMYSF) & Smith-Midland (NASDAQ:SMID)

Imerys (OTCMKTS:IMYSF) and Smith-Midland (NASDAQ:SMID) are both basic materials companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, dividends, earnings, risk, valuation, profitability and analyst recommendations.

Valuation and Earnings

This table compares Imerys and Smith-Midland’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Imerys	N/A	N/A	N/A	C$3.23	11.47
Smith-Midland	$52.54 million	1.90	$800,000.00	$0.19	100.05

Smith-Midland has higher revenue and earnings than Imerys. Imerys is trading at a lower price-to-earnings ratio than Smith-Midland, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

15.8% of Imerys shares are owned by institutional investors. Comparatively, 40.7% of Smith-Midland shares are owned by institutional investors. 5.0% of Smith-Midland shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Imerys and Smith-Midland’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Imerys	N/A	N/A	N/A
Smith-Midland	1.90%	3.03%	1.82%

Analyst Recommendations

This is a breakdown of current ratings for Imerys and Smith-Midland, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Imerys	0	0	4	0	3.00
Smith-Midland	0	0	0	0	N/A

Summary

Smith-Midland beats Imerys on 7 of the 9 factors compared between the two stocks.

About Imerys

Imerys S.A. provides mineral-based specialty solutions for various industries worldwide. The company operates through Performance Minerals and High Temperature Materials and Solutions segments. It provides additives for interior decorative paints, as well as marine protection, facade coating, can coating; and adhesives and sealants. In addition, the company offers minerals for technical ceramics and traditional ceramics comprising floor and wall tiles, large slabs, sanitaryware, and tableware; and components for the production of high purity silicon metal for used to manufacture aluminum alloys, electronics, and solar panels, as well as for construction industry, such as insulation ceiling tiles. Further, it provides functional additives for plastics and thermoset for use in construction and infrastructure industries; fillers and coatings for board and packaging applications; filtration agents for liquids and blood plasma; and graphite and carbon-based solutions for lithium-ion and alkaline batteries, polymers, fuel cells, carbon brushes, and others. Additionally, the company offers refractory minerals and solutions for high-temperature processes; alumina and zirconia for abrasives; and high-performance binders for dry mix mortars and floor screeds in the construction industry. It serves automotive and transportation, consumer and health care, energy and electronics, industry and equipment, iron, and steel industries. The company was incorporated in 1880 and is headquartered in Paris, France. Imerys S.A. is a subsidiary of Belgian Securities BV.

About Smith-Midland

Smith-Midland Corporation, through its subsidiaries, invents, develops, manufactures, markets, leases, licenses, sells, and installs precast concrete products and systems primarily for use in the construction, highway, utilities, and farming industries. It offers SlenderWall, a patented, lightweight, energy efficient concrete and steel exterior wall panel for use in building construction; Sierra Wall that provides sound and sight barrier for use alongside highways around residential, industrial, and commercial properties; J-J Hooks highway safety barriers for use on roadways to separate lanes of traffic in construction work zone or traffic control purposes; and Easi-Set precast building and Easi-Span expandable precast buildings for use in housing communications operations, traffic control systems, and mechanical and electrical stations. The company also provides Easi-Set utility vaults for house equipment, such as cable, telephone, or traffic signal equipment, and for underground storage, as well as custom-built utility vaults for special needs; SoftSound soundwall panels to absorb highway noise; Beach Prisms, an erosion control module for seawalls and jetties; and H2Out secondary drainage systems for panelized exterior cladding. In addition, it licenses its proprietary products in the United States, Canada, Australia, Belgium, Mexico, New Zealand, and Trinidad. The company markets its products through in-house sales force and independent sales representatives to contractors performing public and private construction contracts, such as construction of commercial buildings, public and private roads and highways, airports, and municipal utilities; and federal, state, and local transportation authorities. Smith-Midland Corporation was founded in 1960 and is based in Midland, Virginia.