Financial Analysis: Braskem (OTCMKTS:BRKMY) vs. Golden Arrow Merger (NASDAQ:GAMC)

Braskem (OTCMKTS:BRKMY) and Golden Arrow Merger (NASDAQ:GAMC) are both oils/energy companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, institutional ownership, valuation, analyst recommendations, risk, profitability and earnings.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Braskem and Golden Arrow Merger, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Braskem	0	0	0	0	N/A
Golden Arrow Merger	0	0	0	0	N/A

Valuation and Earnings

This table compares Braskem and Golden Arrow Merger’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Braskem	$18.79 billion	0.30	$773.65 million	$1.23	11.46
Golden Arrow Merger	N/A	N/A	-$1.47 million	N/A	N/A

Braskem has higher revenue and earnings than Golden Arrow Merger.

Institutional & Insider Ownership

0.1% of Braskem shares are held by institutional investors. Comparatively, 5.5% of Golden Arrow Merger shares are held by institutional investors. 0.0% of Braskem shares are held by insiders. Comparatively, 77.4% of Golden Arrow Merger shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Braskem and Golden Arrow Merger’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Braskem	3.18%	26.96%	3.00%
Golden Arrow Merger	N/A	N/A	-24.61%

Volatility and Risk

Braskem has a beta of 1.1, meaning that its share price is 10% more volatile than the S&P 500. Comparatively, Golden Arrow Merger has a beta of 0.01, meaning that its share price is 99% less volatile than the S&P 500.

Summary

Braskem beats Golden Arrow Merger on 6 of the 8 factors compared between the two stocks.

About Braskem

Braskem S.A., together with its subsidiaries, produces and sells thermoplastic resins. The company operates through Chemicals, Polyolefins, Vinyls, United States and Europe, and Mexico segments. The Chemicals segment produces and sells ethylene, propylene butadiene, toluene, xylene, cumene, and benzene, as well as gasoline, diesel and liquefied petroleum gas, and other petroleum derivatives; and supplies electric energy, steam, compressed air, and other inputs to second-generation producers. The Polyolefins segment produces and sells polyethylene and polypropylene. The Vinyls segment produces and sells polyvinyl chloride, caustic soda, and chloride. The United States and Europe segment produces and sells polypropylene in the United States and Europe. The Mexico segment produces and sells polyethylene. The company also produces basic petrochemicals; imports and exports chemicals, petrochemicals, and fuels; produces, supplies, and sells utilities, such as steam, water, compressed air, and industrial gases; and provides industrial services. The company was formerly known as Copene Petroquímica do Nordeste S.A. and changed its name to Braskem S.A. in 2002. Braskem S.A. was founded in 1972 and is headquartered in São Paulo, Brazil. Braskem S.A. is a subsidiary of Odebrecht S.A.

About Golden Arrow Merger

Golden Arrow Merger Corp. does not have significant operations. The company intends to effect a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or similar business combination with one or more businesses. It focuses on acquiring companies in the healthcare and healthcare-related infrastructure industries in the United States and other developed countries. The company was incorporated in 2020 and is based in New York, New York. Golden Arrow Merger Corp. is a subsidiary of Golden Arrow Sponsor, LLC.