Analyzing NL Industries (NYSE:NL) and Symrise (OTCMKTS:SYIEY)

Symrise (OTCMKTS:SYIEY) and NL Industries (NYSE:NL) are both basic materials companies, but which is the better stock? We will contrast the two businesses based on the strength of their risk, analyst recommendations, profitability, institutional ownership, earnings, valuation and dividends.

Valuation & Earnings

This table compares Symrise and NL Industries”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Symrise	$5.41 billion	2.08	$517.49 million	N/A	N/A
NL Industries	$145.90 million	1.79	$67.23 million	$0.20	26.76

Symrise has higher revenue and earnings than NL Industries.

Risk & Volatility

Symrise has a beta of 0.71, indicating that its share price is 29% less volatile than the S&P 500. Comparatively, NL Industries has a beta of 0.28, indicating that its share price is 72% less volatile than the S&P 500.

Institutional & Insider Ownership

10.7% of NL Industries shares are owned by institutional investors. 0.3% of NL Industries shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Symrise and NL Industries’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Symrise	N/A	N/A	N/A
NL Industries	6.10%	2.36%	1.83%

Analyst Recommendations

This is a summary of current ratings and recommmendations for Symrise and NL Industries, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Symrise	0	1	2	1	3.00
NL Industries	0	1	0	0	2.00

Dividends

Symrise pays an annual dividend of $0.18 per share and has a dividend yield of 0.9%. NL Industries pays an annual dividend of $0.36 per share and has a dividend yield of 6.7%. NL Industries pays out 180.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. NL Industries has raised its dividend for 2 consecutive years. NL Industries is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

Symrise beats NL Industries on 8 of the 15 factors compared between the two stocks.

About Symrise

Symrise AG supplies fragrances, flavorings, cosmetic active ingredients and raw materials, and functional ingredients in Europe, Africa, the Middle East, North America, the Asia Pacific, and Latin America. It operates through two segments, Taste, Nutrition & Health; and Scent & Care. The Taste, Nutrition & Health segment provides functional ingredients and product solutions used in the production of food and beverages; savory flavors; natural and sustainable ingredients for food and beverage manufacturers, baby food, and dietary supplements; product solutions and services for pet food manufacturers; sustainable ingredients and services for fish feed manufacturers to develop solutions for fish and shrimp farms; and probiotics for food supplements and functional foods. The Scent & Care segment develops, produces, and sells fragrance ingredients and compositions, aroma molecules, cosmetic ingredients, and mint flavors, as well as specific application processes for such substances. This segment's products are used by manufacturers of perfumes, personal care and cosmetic products, cleaning products, detergents, air fresheners, and oral care products. Symrise AG was founded in 1874 and is headquartered in Holzminden, Germany.

About NL Industries

NL Industries, Inc., through its subsidiary, CompX International Inc., operates in the component products industry in Europe, North America, the Asia Pacific, and internationally. The company manufactures and sells mechanical and electronic cabinet locks and other locking mechanisms, including disc tumbler locks; pin tumbler locking mechanisms under KeSet, System 64, TuBar, and Turbine brands; and electronic locks under CompX eLock and StealthLock brands for use in various applications, such as mailboxes, ignition systems, file cabinets, desk drawers, tool storage cabinets, high security medical cabinetry, integrated inventory and access control secured narcotics boxes, electronic circuit panels, storage compartments, gas station security, vending and cash containment machines. It also offers original equipment and aftermarket stainless steel exhaust headers, exhaust pipes, mufflers, and other exhaust components; gauges, such as GPS speedometers and tachometers; mechanical and electronic controls and throttles; wake enhancement devices, trim tabs, steering wheels, and other billet aluminum accessories; dash panels, LED indicators, wire harnesses, and other accessories; and grab handles, pin cleats, and other accessories; primarily for performance and ski/wakeboard and performance boats. In addition, the company produces and markets value-added titanium dioxide pigments, a base industrial product used in imparting whiteness, brightness, opacity, and durability to a diverse range of customer applications and end-use markets, including coatings, plastics, paper, inks, cosmetics, pharmaceuticals, and other industrial and consumer products. The company sells its component products directly to original equipment manufacturers, as well as through distributors. NL Industries, Inc. was founded in 1891 and is based in Dallas, Texas. NL Industries, Inc. operates as a subsidiary of Valhi, Inc.