Jerash Holdings (US) (NASDAQ:JRSH) vs. Grasim Industries (OTCMKTS:GRSXY) Head-To-Head Survey

Grasim Industries (OTCMKTS:GRSXY) and Jerash Holdings (US) (NASDAQ:JRSH) are both consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, analyst recommendations, risk, institutional ownership, dividends, valuation and earnings.

Profitability

This table compares Grasim Industries and Jerash Holdings (US)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grasim Industries	2.72%	5.47%	1.70%
Jerash Holdings (US)	0.45%	1.03%	0.79%

Volatility & Risk

Grasim Industries has a beta of -0.24, suggesting that its share price is 124% less volatile than the S&P 500. Comparatively, Jerash Holdings (US) has a beta of 1.05, suggesting that its share price is 5% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Grasim Industries and Jerash Holdings (US), as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grasim Industries	0	0	0	0	0.00
Jerash Holdings (US)	0	1	1	0	2.50

Jerash Holdings (US) has a consensus price target of $4.00, indicating a potential upside of 29.03%. Given Jerash Holdings (US)’s stronger consensus rating and higher possible upside, analysts plainly believe Jerash Holdings (US) is more favorable than Grasim Industries.

Insider and Institutional Ownership

3.4% of Jerash Holdings (US) shares are held by institutional investors. 42.7% of Jerash Holdings (US) shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Dividends

Grasim Industries pays an annual dividend of $0.10 per share and has a dividend yield of 0.5%. Jerash Holdings (US) pays an annual dividend of $0.20 per share and has a dividend yield of 6.5%. Grasim Industries pays out 13.3% of its earnings in the form of a dividend. Jerash Holdings (US) pays out 333.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Earnings and Valuation

This table compares Grasim Industries and Jerash Holdings (US)”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grasim Industries	$17.74 billion	0.75	$437.27 million	$0.75	26.00
Jerash Holdings (US)	$146.23 million	0.27	-$850,000.00	$0.06	51.67

Grasim Industries has higher revenue and earnings than Jerash Holdings (US). Grasim Industries is trading at a lower price-to-earnings ratio than Jerash Holdings (US), indicating that it is currently the more affordable of the two stocks.

About Grasim Industries

Grasim Industries Limited operates in fibre, yarn, pulp, chemicals, textile, fertilizers, and insulators businesses in India and internationally. The company operates through Viscose, Chemicals, Cement, Financial Services, and Others segments. It provides viscose staple fiber, a man-made biodegradable fiber for use in apparels, home textiles, dress materials, knit wear products, and non-woven applications; wood pulp products; viscose filament yarn, a natural fibre for manufacturing fabrics such as georgettes, crepes, chiffons, and others; and textile products, such as linen and wool. The company offers various chemical products, including chlor-alkali and epoxy resin products. In addition, it provides electrical insulators for transmission lines and substations, as well as equipment and railways. Further, the company offers grey cement; white cement; ready mix concrete; and cement-based putty. Additionally, it provides various financial services comprising non-bank financial, life insurance, asset management, housing finance, equity broking, wealth management, general insurance advisory, and health insurance services. The company involved in solar power designing, engineering procurement, and commissioning business. Grasim Industries Limited was incorporated in 1947 and is based in Mumbai, India.

About Jerash Holdings (US)

Jerash Holdings (US), Inc., through its subsidiaries, manufactures and exports customized and ready-made sport and outerwear. The company offers t-shirts; jackets and pullover; pants and shorts; crew neck, polo shirts, and tank tops made from knitted fabric, as well as personal protective equipment. It serves various brand-name retailers in the United States, Hong Kong, Jordan, and internationally. The company was incorporated in 2016 and is headquartered in Fairfield, New Jersey.