Orbia Advance (OTCMKTS:MXCHY) vs. American Vanguard (NYSE:AVD) Head to Head Review

American Vanguard (NYSE:AVD) and Orbia Advance (OTCMKTS:MXCHY) are both small-cap basic materials companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, dividends, profitability, analyst recommendations, valuation, risk and institutional ownership.

Dividends

American Vanguard pays an annual dividend of $0.03 per share and has a dividend yield of 0.8%. Orbia Advance pays an annual dividend of $0.09 per share and has a dividend yield of 6.8%. American Vanguard pays out -2.9% of its earnings in the form of a dividend.

Insider & Institutional Ownership

79.0% of American Vanguard shares are owned by institutional investors. 7.6% of American Vanguard shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares American Vanguard and Orbia Advance’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
American Vanguard	-25.83%	-41.65%	-16.77%
Orbia Advance	1.93%	7.22%	1.98%

Analyst Recommendations

This is a summary of recent recommendations and price targets for American Vanguard and Orbia Advance, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
American Vanguard	0	0	1	0	3.00
Orbia Advance	0	0	1	0	3.00

American Vanguard currently has a consensus price target of $12.00, indicating a potential upside of 223.89%. Given American Vanguard’s higher possible upside, analysts clearly believe American Vanguard is more favorable than Orbia Advance.

Risk and Volatility

American Vanguard has a beta of 1.28, suggesting that its share price is 28% more volatile than the S&P 500. Comparatively, Orbia Advance has a beta of 0.93, suggesting that its share price is 7% less volatile than the S&P 500.

Valuation and Earnings

This table compares American Vanguard and Orbia Advance”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
American Vanguard	$547.31 million	0.19	-$126.34 million	($1.03)	-3.60
Orbia Advance	$7.51 billion	0.17	$145.00 million	N/A	N/A

Orbia Advance has higher revenue and earnings than American Vanguard.

About American Vanguard

American Vanguard Corporation, through its subsidiaries, develops, manufactures, and markets specialty chemicals for agricultural, commercial, and consumer uses in the United States and internationally. It manufactures and formulates chemicals, including insecticides, fungicides, herbicides, soil health, plant nutrition, molluscicides, growth regulators, soil fumigants, and biorationals in liquid, powder, and granular forms for crops, turf and ornamental plants, and human and animal health protection. The company also markets, sells, and distributes end-use chemical and biological products for crop applications; and distributes chemicals for turf and ornamental markets. It distributes its products through national distribution companies, and buying groups or co-operatives; and through sales offices, sales force executives, sales agents, and wholly owned distributors. American Vanguard Corporation was incorporated in 1969 and is headquartered in Newport Beach, California.

About Orbia Advance

Orbia Advance Corporation, S.A.B. de C.V. provides products and solutions for precision agriculture, building and infrastructure, fluorinated, polymer, and connectivity sectors worldwide. The company offers irrigation systems, agricultural and greenhouse projects, digital farming technologies, and related services; and connectivity solutions, including conduits, cable-in conduit, and other HDPE products and solutions. It also provides water delivering solutions for drinking water supply, sanitation, and urban water resilience; fluorine and downstream products, comprising fluorspar mine and produces intermediates, refrigerants, and propellants for used in automotive, infrastructure, semiconductor, health, medicine, climate control, food cold chain, energy storage, computing, and telecommunications applications; and general and specialty resins, PVC, and compounds and additives for stabilizers and plasticizers, as well as compounds formulated from polyolefin, thermoplastic polyurethane, and thermoplastic elastomer polymers for various applications. The company was formerly known as Mexichem, S.A.B. de C.V. and changed its name to Orbia Advance Corporation, S.A.B. de C.V. in August 2019. Orbia Advance Corporation, S.A.B. de C.V. was founded in 1953 and is headquartered in Mexico City, Mexico.