Head to Head Contrast: Elementis (OTCMKTS:EMNSF) vs. BlueFire Renewables (OTCMKTS:BFRE)

BlueFire Renewables (OTCMKTS:BFRE) and Elementis (OTCMKTS:EMNSF) are both basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, institutional ownership, valuation, profitability, analyst recommendations, earnings and dividends.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for BlueFire Renewables and Elementis, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BlueFire Renewables	0	0	0	0	0.00
Elementis	0	0	1	0	3.00

Profitability

This table compares BlueFire Renewables and Elementis’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BlueFire Renewables	N/A	N/A	N/A
Elementis	N/A	N/A	N/A

Insider & Institutional Ownership

0.1% of BlueFire Renewables shares are held by institutional investors. Comparatively, 66.0% of Elementis shares are held by institutional investors. 4.0% of BlueFire Renewables shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares BlueFire Renewables and Elementis”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BlueFire Renewables	N/A	N/A	N/A	($0.01)	-2,985.78
Elementis	N/A	N/A	N/A	$0.24	8.60

BlueFire Renewables is trading at a lower price-to-earnings ratio than Elementis, indicating that it is currently the more affordable of the two stocks.

Dividends

BlueFire Renewables pays an annual dividend of $0.26 per share and has a dividend yield of 0.9%. Elementis pays an annual dividend of $0.08 per share and has a dividend yield of 3.9%. BlueFire Renewables pays out -2,567.1% of its earnings in the form of a dividend. Elementis pays out 33.3% 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.

Summary

Elementis beats BlueFire Renewables on 6 of the 8 factors compared between the two stocks.

About BlueFire Renewables

BlueFire Renewables, Inc. focuses on developing, owning, and operating carbohydrate-based transportation fuel plants or bio-refineries to produce ethanol in North America. Its bio-refineries would convert organic materials, such as agricultural residues, high-content biomass crops, wood residues, and cellulose from municipal solid wastes into ethanol. The company has a technology license agreement with Arkenol, Inc. to use and sub-license the Arkenol technology that converts cellulose and waste materials into ethanol and other high value chemicals. It also focuses on providing professional services to bio-refineries worldwide. BlueFire Renewables, Inc. was founded in 2006 and is based in Mission Viejo, California.

About Elementis

Elementis plc operates as a specialty chemical company in the United Kingdom, rest of Europe, North America, and internationally. It operates in two segments, Performance Specialties and Personal Care. The Performance Specialties segment engages in the production of rheological modifiers and additives for decorative and industrial coatings; and production and supply of talc for use in plastics, coatings, technical ceramics, and paper sectors. The Personal Care segment provides rheological modifiers and compounded products, including active ingredients for antiperspirants (AP) deodorants for personal care manufacturers. The company offers personal care products for antiperspirants, color cosmetics, and skin care applications; and performance specialties products for architectural coatings, adhesives, sealants and construction additives, and talc applications. Elementis plc was founded in 1844 and is headquartered in London, the United Kingdom.