Comparing Compagnie de Saint-Gobain (OTCMKTS:CODYY) and Quanex Building Products (NYSE:NX)

Compagnie de Saint-Gobain (OTCMKTS:CODYY) and Quanex Building Products (NYSE:NX) are both construction companies, but which is the superior business? We will compare the two companies based on the strength of their institutional ownership, earnings, profitability, analyst recommendations, dividends, valuation and risk.

Institutional and Insider Ownership

97.5% of Quanex Building Products shares are owned by institutional investors. 1.9% of Quanex Building Products shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Compagnie de Saint-Gobain and Quanex Building Products”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Compagnie de Saint-Gobain	$52.58 billion	0.82	$3.26 billion	N/A	N/A
Quanex Building Products	$1.86 billion	0.41	-$250.81 million	($5.63)	-2.98

Compagnie de Saint-Gobain has higher revenue and earnings than Quanex Building Products.

Volatility and Risk

Compagnie de Saint-Gobain has a beta of 0.75, meaning that its share price is 25% less volatile than the S&P 500. Comparatively, Quanex Building Products has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500.

Dividends

Compagnie de Saint-Gobain pays an annual dividend of $0.33 per share and has a dividend yield of 1.9%. Quanex Building Products pays an annual dividend of $0.32 per share and has a dividend yield of 1.9%. Quanex Building Products pays out -5.7% of its earnings in the form of a dividend.

Profitability

This table compares Compagnie de Saint-Gobain and Quanex Building Products’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Compagnie de Saint-Gobain	N/A	N/A	N/A
Quanex Building Products	-13.85%	11.11%	4.07%

Analyst Recommendations

This is a summary of recent ratings for Compagnie de Saint-Gobain and Quanex Building Products, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Compagnie de Saint-Gobain	1	2	1	1	2.40
Quanex Building Products	2	0	1	0	1.67

Quanex Building Products has a consensus target price of $28.00, indicating a potential upside of 67.15%. Given Quanex Building Products’ higher possible upside, analysts plainly believe Quanex Building Products is more favorable than Compagnie de Saint-Gobain.

Summary

Quanex Building Products beats Compagnie de Saint-Gobain on 8 of the 14 factors compared between the two stocks.

About Compagnie de Saint-Gobain

Compagnie de Saint-Gobain S.A. designs, manufactures, and distributes materials and solutions for the construction and industrial markets worldwide. It operates through five segments: High Performance Solutions; Northern Europe; Southern Europe Middle East (ME) & Africa; Americas; and Asia-Pacific. The company offers glazing solutions for buildings and vehicles under the Saint-Gobain, GlassSolutions, Vetrotech, and SageGlass brands; plaster-based products for construction and renovation markets under the Placo, Rigips, and Gyproc brands; ceilings under the Ecophon, CertainTeed, Eurocoustic, Sonex, and Vinh Tuong brands; and insulation solutions for a range of applications, such as construction, engine compartments, vehicle interiors, household appliances, and photovoltaic panels under the Isover, CertainTeed, and Izocam brands. It also provides mortars and construction chemicals under the Weber, Chryso, and GCP brands; exterior products comprising asphalt and composite shingles, solar roofing solutions, roll roofing systems, and accessories under the CertainTeed and Brasilit brands; and pipes under the PAM brand, as well as abrasives, adhesives, sealants, tapes, composites, and films. In addition, the company provides interior and exterior systems for construction and housing sectors; ceramics under the SEFPRO brand; polymer shakes and shingle, and insulation cladding solutions; and barriers, terraces, and balustrades. Further, it distributes heavy building materials; plumbing, heating, ventilation, and sanitaryware products; timber and byproducts; bathrooms and kitchens; and site equipment, PPEs, and tools. The company was founded in 1665 and is headquartered in Courbevoie, France.

About Quanex Building Products

Quanex Building Products Corporation, together with its subsidiaries, provides components for the fenestration industry in the United States, rest of Europe, Canada, Asia, the United Kingdom, and internationally. The company operates through three segments: North American Fenestration, European Fenestration, and North American Cabinet Components. It offers flexible insulating glass spacers, extruded vinyl profiles, window and door screens, and precision-formed metal and wood products, as well as cabinet doors and other components for original equipment manufacturers (OEMs) in the kitchen and bathroom cabinet industry. In addition, the company provides various non-fenestration components and products, including solar panel sealants, trim moldings, vinyl decking, fencing, water retention barriers, and conservatory roof components. It sells its products to OEMs in the building products industry through sales representatives, direct sales force, distributors, and independent sales agents. Quanex Building Products Corporation was founded in 1927 and is based in Houston, Texas.