Critical Analysis: Myers Industries (MYE) and AptarGroup (ATR)

Myers Industries (NYSE: MYE) and AptarGroup (NYSE:ATR) are both industrial products companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, dividends, valuation, earnings, risk, analyst recommendations and profitability.

Institutional and Insider Ownership

83.1% of Myers Industries shares are owned by institutional investors. Comparatively, 90.5% of AptarGroup shares are owned by institutional investors. 0.8% of Myers Industries shares are owned by insiders. Comparatively, 5.3% of AptarGroup shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Myers Industries and AptarGroup, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Myers Industries 1 0 1 0 2.00
AptarGroup 2 5 1 0 1.88

Myers Industries currently has a consensus price target of $13.00, suggesting a potential downside of 28.18%. AptarGroup has a consensus price target of $81.83, suggesting a potential downside of 0.39%. Given AptarGroup’s higher probable upside, analysts plainly believe AptarGroup is more favorable than Myers Industries.

Profitability

This table compares Myers Industries and AptarGroup’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Myers Industries 0.74% 10.71% 2.67%
AptarGroup 9.36% 16.91% 8.08%

Volatility & Risk

Myers Industries has a beta of 1.76, meaning that its share price is 76% more volatile than the S&P 500. Comparatively, AptarGroup has a beta of 0.96, meaning that its share price is 4% less volatile than the S&P 500.

Dividends

Myers Industries pays an annual dividend of $0.54 per share and has a dividend yield of 3.0%. AptarGroup pays an annual dividend of $1.28 per share and has a dividend yield of 1.6%. Myers Industries pays out 415.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. AptarGroup pays out 37.5% of its earnings in the form of a dividend. Myers Industries has increased its dividend for 4 consecutive years and AptarGroup has increased its dividend for 7 consecutive years.

Earnings and Valuation

This table compares Myers Industries and AptarGroup’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Myers Industries $546.75 million 1.00 $54.88 million $0.13 139.23
AptarGroup $2.35 billion 2.19 $463.18 million $3.41 24.09

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

Summary

AptarGroup beats Myers Industries on 12 of the 16 factors compared between the two stocks.

About Myers Industries

Myers Industries, Inc. is an international manufacturing and distribution company. The Company operates through two segments: Material Handling and Distribution. As of December 31, 2016, the Company operated 15 manufacturing facilities, 20 sales offices, four distribution centers and three distribution branches located throughout North, Central and South America. As of December 31, 2016, the Company had approximately 15,000 manufactured products and over 13,500 distributed products. The Material Handling segment designs, manufactures and markets a range of plastic and metal products. The Distribution Segment is engaged in the distribution of tools, equipment and supplies used for tire, wheel and under vehicle service on passenger, heavy truck and off-road vehicles, and the manufacturing of tire repair materials and custom rubber products. The product line includes categories, such as tire valves and accessories, and lifts and alignment equipment.

About AptarGroup

AptarGroup, Inc. is a provider of a range of packaging, dispensing and sealing solutions, primarily for the beauty, personal care, homecare, prescription drug, consumer healthcare, injectables, food and beverage markets. The Company has manufacturing facilities located throughout the world, including North America, Europe, Asia and South America. The Company operates through three segments: Beauty + Home, Pharma and Food + Beverage. It offers various dispensing and sealing solutions. Its primary products are dispensing pumps, closures, aerosol valves and elastomeric primary packaging components. Its elastomeric components also include pre filled syringe components, such as plungers, needle shields, tip caps and cartridges, as well as dropper bulbs and syringe plungers. Its Beauty + Home segment primarily sells pumps, closures, aerosol valves, accessories and sealing solutions to the personal care and home care markets, and pumps and decorative components to the beauty market.

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

Latest News

Leave a Reply