Sociedad Quimica y Minera (NYSE:SQM – Get Free Report) and PPG Industries (NYSE:PPG – Get Free Report) are both large-cap basic materials companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, dividends, valuation and analyst recommendations.
Earnings and Valuation
This table compares Sociedad Quimica y Minera and PPG Industries”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Sociedad Quimica y Minera | $4.53 billion | 4.15 | $685.12 million | $1.83 | 35.98 |
| PPG Industries | $15.85 billion | 1.47 | $1.12 billion | $4.41 | 23.52 |
Analyst Ratings
This is a summary of current ratings and recommmendations for Sociedad Quimica y Minera and PPG Industries, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Sociedad Quimica y Minera | 1 | 7 | 4 | 0 | 2.25 |
| PPG Industries | 1 | 9 | 7 | 1 | 2.44 |
Sociedad Quimica y Minera presently has a consensus price target of $59.75, indicating a potential downside of 9.26%. PPG Industries has a consensus price target of $122.54, indicating a potential upside of 18.15%. Given PPG Industries’ stronger consensus rating and higher possible upside, analysts clearly believe PPG Industries is more favorable than Sociedad Quimica y Minera.
Profitability
This table compares Sociedad Quimica y Minera and PPG Industries’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Sociedad Quimica y Minera | 12.12% | 9.79% | 4.54% |
| PPG Industries | 6.35% | 23.61% | 8.28% |
Volatility and Risk
Sociedad Quimica y Minera has a beta of 0.99, indicating that its share price is 1% less volatile than the S&P 500. Comparatively, PPG Industries has a beta of 1.16, indicating that its share price is 16% more volatile than the S&P 500.
Insider & Institutional Ownership
12.4% of Sociedad Quimica y Minera shares are owned by institutional investors. Comparatively, 81.9% of PPG Industries shares are owned by institutional investors. 0.3% of PPG Industries shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Summary
PPG Industries beats Sociedad Quimica y Minera on 12 of the 15 factors compared between the two stocks.
About Sociedad Quimica y Minera
Sociedad Química y Minera de Chile S.A. operates as a mining company worldwide. The company offers specialty plant nutrients, including sodium potassium nitrate, specialty blends, and other specialty fertilizers under Ultrasol, Qrop, Speedfol, Allganic, Ultrasoline, ProP, and Prohydric brands. It also provides iodine and its derivatives for use in medical, agricultural, industrial, and human and animal nutrition products comprising x-ray contrast media, biocides, antiseptics and disinfectants, pharmaceutical intermediates, polarizing films for LCD and LED screens, chemicals, organic compounds, and pigments, as well as added to edible salt to prevent iodine deficiency disorders. In addition, the company produces lithium carbonate and lithium hydroxide which are used in the production of cathode material for secondary batteries; lithium chloride; and basic lithium chemicals and lithium derivatives used in lubricating greases for heat-resistant glass, chips for the ceramic and glazing industry, and air conditioning chemicals, as well as other pharmaceutical syntheses and metal alloys. Further, it produces potassium sulfate; and potassium chloride which is used as a fertilizer for the application of potassium to different crops. Additionally, the company produces and markets industrial chemicals, such as sodium nitrate mainly used in the production of glass and explosives, metal processing and recycling, and production of insulating materials and adhesives; potassium nitrate used as a raw material to produce frits and special glass, as well as in the enamel, metal treatment, and pyrotechnic sectors; solar salts used as a thermal storage medium in solar power generation plants; and potassium chloride as an additive in oil drilling and food processing sectors. Furthermore, it is involved in the commercialization of third-party fertilizers; and exploration of copper, gold, and silver deposits. The company was founded in 1926 and is headquartered in Santiago, Chile.
About PPG Industries
PPG Industries, Inc. manufactures and distributes paints, coatings, and specialty materials in the United States, Canada, the Asia Pacific, Latin America, Europe, the Middle East, and Africa. It operates through two segments, Performance Coatings and Industrial Coatings. The Performance Coatings segment offers coatings, solvents, adhesives, sealants, sundries, and software for automotive and commercial transport/fleet repair and refurbishing, light industrial coatings, and specialty coatings for signs; wood stains; paints, thermoplastics, pavement marking products, and other advanced technologies for pavement marking for government, commercial infrastructure, painting, and maintenance contractors; and coatings, sealants, transparencies, transparent armor, adhesives, engineered materials, and packaging and chemical management services for commercial, military, regional jet, and general aviation aircraft. The Industrial Coatings segment offers coatings, adhesives and sealants, and metal pretreatments, as well as services and coatings applications for appliances, agricultural and construction equipment, consumer electronics, automotive parts and accessories, building products, kitchenware, and transportation vehicles and other finished products; and on-site coatings services. It also provides coatings for metal cans, closures, plastic and aluminum tubes for food, beverage and personal care, promotional, and specialty packaging; amorphous precipitated silica for tire, battery separator, and other end-uses; TESLIN substrates for labels, e-passports, drivers' licenses, breathable membranes, and loyalty and identification cards; and organic light emitting diode materials, displays and lighting lens materials, optical lenses, color-change products, and photochromic dyes. PPG Industries, Inc. was incorporated in 1883 and is headquartered in Pittsburgh, Pennsylvania.
Receive News & Ratings for Sociedad Quimica y Minera Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Sociedad Quimica y Minera and related companies with MarketBeat.com's FREE daily email newsletter.
