Head-To-Head Comparison: Klabin (OTCMKTS:KLBAY) vs. Magnera (NYSE:MAGN)

Klabin (OTCMKTS:KLBAY) and Magnera (NYSE:MAGN) are both materials companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, profitability, risk, valuation, dividends and earnings.

Profitability

This table compares Klabin and Magnera’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Klabin	1.26%	1.72%	0.42%
Magnera	-3.41%	-10.77%	-2.87%

Risk & Volatility

Klabin has a beta of 0.65, suggesting that its share price is 35% less volatile than the S&P 500. Comparatively, Magnera has a beta of 1.73, suggesting that its share price is 73% more volatile than the S&P 500.

Institutional & Insider Ownership

76.9% of Magnera shares are owned by institutional investors. 1.0% of Magnera shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings for Klabin and Magnera, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Klabin	0	2	0	1	2.67
Magnera	1	2	0	0	1.67

Magnera has a consensus price target of $16.00, indicating a potential upside of 39.01%. Given Magnera’s higher probable upside, analysts plainly believe Magnera is more favorable than Klabin.

Valuation & Earnings

This table compares Klabin and Magnera”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Klabin	$3.71 billion	6.40	$251.30 million	$0.17	44.71
Magnera	$3.20 billion	0.13	-$159.00 million	($2.01)	-5.73

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

Summary

Klabin beats Magnera on 10 of the 14 factors compared between the two stocks.

About Klabin

Klabin S.A., together with its subsidiaries, produces and exports packaging paper and sustainable paper packaging solutions in Brazil and internationally. The company engages in the planting of pine and eucalyptus; and forestry management business. It also produces and sells hardwood (eucalyptus), softwood (pine), and fluffed pulp; and paperboard, sackraft, Kraftliner paper, and recycled paper. In addition, the company offers industrial bags, corrugated boxes, and other packaging products. Klabin S.A. was founded in 1899 and is headquartered in São Paulo, Brazil.

About Magnera

Magnera’s purpose is to better the world with new possibilities made real. By continuously co-creating and innovating with our partners, we develop original material solutions that make a brighter future possible. With a breadth of technologies and a passion for what we create, Magnera’s solutions propel our customers’ goals forward and solve end-users’ problems, every day.