Critical Analysis: W.R. Grace & Co. (GRA) vs. Terravia Holdings (TVIA)

Terravia Holdings (NASDAQ: TVIA) and W.R. Grace & Co. (NYSE:GRA) are both consumer discretionary companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, dividends, risk, institutional ownership, valuation, earnings and analyst recommendations.

Analyst Ratings

This is a breakdown of current recommendations for Terravia Holdings and W.R. Grace & Co., as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Terravia Holdings 0 1 0 0 2.00
W.R. Grace & Co. 0 3 8 0 2.73

Terravia Holdings currently has a consensus target price of $1.50, indicating a potential upside of 3,659.40%. W.R. Grace & Co. has a consensus target price of $80.82, indicating a potential upside of 6.33%. Given Terravia Holdings’ higher probable upside, analysts plainly believe Terravia Holdings is more favorable than W.R. Grace & Co..

Risk & Volatility

Terravia Holdings has a beta of 1.12, indicating that its share price is 12% more volatile than the S&P 500. Comparatively, W.R. Grace & Co. has a beta of 1.11, indicating that its share price is 11% more volatile than the S&P 500.

Dividends

W.R. Grace & Co. pays an annual dividend of $0.84 per share and has a dividend yield of 1.1%. Terravia Holdings does not pay a dividend. W.R. Grace & Co. pays out 39.4% of its earnings in the form of a dividend.

Insider & Institutional Ownership

43.4% of Terravia Holdings shares are owned by institutional investors. Comparatively, 84.7% of W.R. Grace & Co. shares are owned by institutional investors. 10.1% of Terravia Holdings shares are owned by company insiders. Comparatively, 1.3% of W.R. Grace & Co. shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Terravia Holdings and W.R. Grace & Co.’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Terravia Holdings -413.48% N/A -61.89%
W.R. Grace & Co. 8.54% 48.21% 6.43%

Valuation & Earnings

This table compares Terravia Holdings and W.R. Grace & Co.’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Terravia Holdings N/A N/A N/A ($1.10) -0.04
W.R. Grace & Co. $1.67 billion 3.11 $371.30 million $2.13 35.69

W.R. Grace & Co. has higher revenue and earnings than Terravia Holdings. Terravia Holdings is trading at a lower price-to-earnings ratio than W.R. Grace & Co., indicating that it is currently the more affordable of the two stocks.

Summary

W.R. Grace & Co. beats Terravia Holdings on 9 of the 13 factors compared between the two stocks.

Terravia Holdings Company Profile

Solazyme, Inc. creates renewable oils and bioproducts. The Company’s technology uses microalgae in an industrial fermentation process to transform a range of plant-based sugars into triglyceride oils and other bioproducts. The Company offers Algenist, a skin and personal care product available at Sephora S.A. and its affiliates, QVC, Inc., SpaceNK Limited, select Nordstrom stores and ULTA Beauty. It offers intermediates/ingredients, such as Tailored oils, powdered oils, and other closely related products targeted at customers in the industrial products, food products and personal care products markets. The Company’s commercial focus is to sell oils, encapsulated oils and whole algal powdered products to companies that use them as intermediates and ingredients.

W.R. Grace & Co. Company Profile

W. R. Grace & Co. (Grace) is engaged in the production and sale of specialty chemicals and specialty materials. The Company operates in two segments: Grace Catalysts Technologies and Grace Materials Technologies. The Grace Catalysts Technologies segment includes catalysts and related products and technologies used in refining, petrochemical and other chemical manufacturing applications. The Grace Materials Technologies segment includes specialty materials, including silica-based and silica-alumina-based materials, used in coatings, consumer, industrial, and pharmaceutical applications. It Grace Catalysts Technologies segment produces and sells catalysts and related products and technologies used in refining, petrochemical and other chemical manufacturing applications, including Fluid catalytic cracking catalysts (FCC), Hydroprocessing catalysts (HPC), and Polyolefin catalysts and catalyst supports.

Receive News & Ratings for Terravia Holdings Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Terravia Holdings and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply