Analyzing TOR Minerals International (OTCMKTS:TORM) & Quaker Houghton (NYSE:KWR)

TOR Minerals International (OTCMKTS:TORM) and Quaker Houghton (NYSE:KWR) are both materials companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Valuation & Earnings

This table compares TOR Minerals International and Quaker Houghton”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TOR Minerals International	$22.08 million	0.39	-$990,000.00	($0.01)	-242.00
Quaker Houghton	$1.98 billion	1.47	-$2.49 million	$5.61	30.07

TOR Minerals International has higher earnings, but lower revenue than Quaker Houghton. TOR Minerals International is trading at a lower price-to-earnings ratio than Quaker Houghton, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

77.5% of Quaker Houghton shares are held by institutional investors. 42.1% of TOR Minerals International shares are held by company insiders. Comparatively, 1.0% of Quaker Houghton shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

TOR Minerals International has a beta of 0.25, suggesting that its stock price is 75% less volatile than the S&P 500. Comparatively, Quaker Houghton has a beta of 1.4, suggesting that its stock price is 40% more volatile than the S&P 500.

Profitability

This table compares TOR Minerals International and Quaker Houghton’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TOR Minerals International	-2.53%	-5.25%	-4.25%
Quaker Houghton	4.94%	9.55%	4.66%

Analyst Ratings

This is a summary of recent recommendations and price targets for TOR Minerals International and Quaker Houghton, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TOR Minerals International	0	0	0	0	0.00
Quaker Houghton	0	2	4	0	2.67

Quaker Houghton has a consensus price target of $187.67, indicating a potential upside of 11.26%. Given Quaker Houghton’s stronger consensus rating and higher possible upside, analysts plainly believe Quaker Houghton is more favorable than TOR Minerals International.

Summary

Quaker Houghton beats TOR Minerals International on 12 of the 14 factors compared between the two stocks.

About TOR Minerals International

TOR Minerals International, Inc. produces and sells specialty mineral products in the United States, Europe, and Asia. The company offers alumina trihydrate and boehmite halogen-free flame retardant and smoke suppressant fillers for plastics, rubber, and specialty applications; and beige and gray colored titanium dioxide (TiO2) pigments for use in paints, coatings, plastics, paper, and various other products. It also provides white TiO2, a pigment to add whiteness and opacity to paints and coatings, plastics, and other materials; and engineered fillers for use in plastics, paints, coatings, catalysts, and industrial products. The company was founded in 1973 and is headquartered in Corpus Christi, Texas.

About Quaker Houghton

Quaker Chemical Corporation, together with its subsidiaries, develops, produces, and markets various formulated specialty chemical products for a range of heavy industrial and manufacturing applications in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It offers metal removal fluids, cleaning fluids, corrosion inhibitors, metal drawing and forming fluids, die-cast mold releases, heat treatment and quenchants, metal forging fluids, hydraulic fluids, specialty greases, offshore sub-sea energy control fluids, rolling lubricants, rod and wire drawing fluids, and surface treatment chemicals. The company also provides chemical management services. It serves steel, aluminum, automotive, aerospace, offshore, container, mining, and metalworking companies. The company was founded in 1918 and is headquartered in Conshohocken, Pennsylvania.