Contrasting Cemex SAB de CV (CX) & Forterra (FRTA)

Forterra (NASDAQ: FRTA) and Cemex SAB de CV (NYSE:CX) are both basic materials companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, dividends, profitability, institutional ownership, analyst recommendations and risk.

Analyst Ratings

This is a summary of current recommendations and price targets for Forterra and Cemex SAB de CV, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Forterra 0 4 2 0 2.33
Cemex SAB de CV 0 3 5 1 2.78

Forterra currently has a consensus target price of $12.00, suggesting a potential upside of 23.71%. Cemex SAB de CV has a consensus target price of $10.59, suggesting a potential upside of 30.07%. Given Cemex SAB de CV’s stronger consensus rating and higher probable upside, analysts plainly believe Cemex SAB de CV is more favorable than Forterra.

Insider & Institutional Ownership

99.9% of Forterra shares are owned by institutional investors. Comparatively, 40.4% of Cemex SAB de CV shares are owned by institutional investors. 0.3% of Forterra shares are owned by company insiders. Comparatively, 1.0% of Cemex SAB de CV shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Forterra and Cemex SAB de CV’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Forterra -5.97% -69.57% -4.00%
Cemex SAB de CV 8.38% 8.71% 3.10%

Valuation and Earnings

This table compares Forterra and Cemex SAB de CV’s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Forterra $1.36 billion 0.46 -$7.60 million ($1.69) -5.74
Cemex SAB de CV $13.40 billion 0.89 $752.16 million $0.58 14.03

Cemex SAB de CV has higher revenue and earnings than Forterra. Forterra is trading at a lower price-to-earnings ratio than Cemex SAB de CV, indicating that it is currently the more affordable of the two stocks.

Summary

Cemex SAB de CV beats Forterra on 13 of the 14 factors compared between the two stocks.

Forterra Company Profile

Forterra, Inc. is a manufacturer of pipe and precast products. The Company offers products for a range of water-related infrastructure applications, including water transmission, distribution and drainage. The Company operates approximately 95 facilities. Its products are available in the United States and Eastern Canada.

Cemex SAB de CV Company Profile

CEMEX, S.A.B. de C.V. (CEMEX) is an operating and holding company engaged, directly or indirectly, through its operating subsidiaries, primarily in the production, distribution, marketing and sale of cement, ready-mix concrete, aggregates, clinker and other construction materials throughout the world, and that provides construction-related services to customers and communities in over 50 countries throughout the world. The Company operates in various locations, including Mexico, the United States, Europe, South America, Central America, the Caribbean, Asia, the Middle East and Africa. Its cement production facilities are located in Mexico, the United States, Spain, Egypt, Germany, Colombia, the Philippines, Poland, the Dominican Republic, the United Kingdom, Panama, Latvia, Puerto Rico, Thailand, Costa Rica and Nicaragua. The Company is a supplier of aggregates, primarily the crushed stone, sand and gravel, used in various forms of construction.

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

Leave a Reply