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Reviewing Comstock (NYSE:LODE) & NewMarket (NYSE:NEU)

Defense World ·  Jan 22, 2023 01:21

Comstock (NYSE:LODE – Get Rating) and NewMarket (NYSE:NEU – Get Rating) are both basic materials companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, profitability, institutional ownership, valuation, dividends, analyst recommendations and risk.

Profitability

This table compares Comstock and NewMarket's net margins, return on equity and return on assets.

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Net Margins Return on Equity Return on Assets
Comstock -7,762.50% -25.38% -17.24%
NewMarket 7.76% 29.16% 8.93%

Analyst Recommendations

This is a breakdown of recent ratings for Comstock and NewMarket, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Comstock 0 0 0 0 N/A
NewMarket 0 0 0 0 N/A

Institutional and Insider Ownership

4.8% of Comstock shares are owned by institutional investors. Comparatively, 58.5% of NewMarket shares are owned by institutional investors. 16.4% of Comstock shares are owned by insiders. Comparatively, 19.9% of NewMarket shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Risk & Volatility

Comstock has a beta of 1.71, suggesting that its share price is 71% more volatile than the S&P 500. Comparatively, NewMarket has a beta of 0.31, suggesting that its share price is 69% less volatile than the S&P 500.

Earnings & Valuation

This table compares Comstock and NewMarket's revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Comstock $860,000.00 56.29 -$24.58 million ($0.68) -0.83
NewMarket $2.36 billion 1.44 $190.91 million $20.26 16.92

NewMarket has higher revenue and earnings than Comstock. Comstock is trading at a lower price-to-earnings ratio than NewMarket, indicating that it is currently the more affordable of the two stocks.

Summary

NewMarket beats Comstock on 9 of the 11 factors compared between the two stocks.

About Comstock

(Get Rating)

Comstock Inc. engages in the exploration, development, and production of mineral properties in Nevada. The company explores for gold, silver, lithium, nickel, cobalt, and mercury ores. It operates in two segments, Mining and Real Estate. The Mining segment owns and controls approximately 9,358 acres of mining claims and parcels, including approximately 2,396 acres of patented claims and surface parcels; and approximately 6,962 acres of unpatented mining claims in the Comstock and Silver City districts, as well as focuses on exploring and developing properties in the Lucerne and Dayton resource areas; and Occidental and Gold Hill mineral properties. The Real Estate segment comprises land and real estate rental properties, as well as the Gold Hill Hotel and Daney Ranch properties. It has collaboration agreements with Oro Industries Inc. and Mercury Clean Up, LLC for the manufacture and deployment of mercury remediation systems with proprietary mechanical, hydro, electro-chemical, and oxidation processes to reclaim and remediate mercury from soils, waste, and tailings. The company was formerly known as Comstock Mining Inc. and changed its name to Comstock Inc. in May 2022. Comstock Inc. was incorporated in 2008 and is based in Virginia City, Nevada.

About NewMarket

(Get Rating)

NewMarket Corp. operates as a holding company. The firm's segment include petroleum additives. Petroleum additives are used in lubricating oils and fuels to enhance their performance in machinery, vehicles, and other equipment. It manages properties owned in Virginia and provides various administrative services. NewMarket was founded on February 11, 1887, and is headquartered in Richmond, VA.

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Disclaimer: This content is for informational and educational purposes only and does not constitute a recommendation or endorsement of any specific investment or investment strategy. Read more
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