Contrasting Elkem ASA (OTCMKTS:ELKEF) and Alto Ingredients (NASDAQ:ALTO)

Elkem ASA (OTCMKTS:ELKEF) and Alto Ingredients (NASDAQ:ALTO) are both basic materials companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, analyst recommendations, earnings, profitability, valuation, risk and institutional ownership.

Profitability

This table compares Elkem ASA and Alto Ingredients’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Elkem ASA	N/A	N/A	N/A
Alto Ingredients	-2.29%	-7.32%	-4.65%

Analyst Ratings

This is a breakdown of current ratings and target prices for Elkem ASA and Alto Ingredients, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Elkem ASA	0	2	0	0	2.00
Alto Ingredients	0	0	1	0	3.00

Alto Ingredients has a consensus price target of $5.50, suggesting a potential upside of 176.38%. Given Alto Ingredients’ stronger consensus rating and higher possible upside, analysts plainly believe Alto Ingredients is more favorable than Elkem ASA.

Institutional and Insider Ownership

42.4% of Alto Ingredients shares are owned by institutional investors. 4.2% of Alto Ingredients shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Elkem ASA and Alto Ingredients’ revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Elkem ASA	N/A	N/A	N/A	N/A	N/A
Alto Ingredients	$1.22 billion	0.12	-$28.00 million	($0.39)	-5.10

Elkem ASA has higher earnings, but lower revenue than Alto Ingredients.

Summary

Alto Ingredients beats Elkem ASA on 6 of the 9 factors compared between the two stocks.

About Elkem ASA

Elkem ASA provides silicones, silicon products, and carbon solutions worldwide. The company offers silicones polymers, including chlorosilanes and silicone oils; silicone elastomers, comprising liquid silicone rubber, heat cured rubber, and RTV-1 and RTV-2 silicones; and silicone fluids, such as silicone resin, silicone compounds, silicone grease, and silicone emulsion. It also provides silicon based materials comprising silicon, silicon powder/micronized silicon, silica fume/ microsilica, ferrosilicon, grain refiner, silicon and boron carbide, ferrosilicon nitride, fused silica, polymer additives, and specialties for refractories. In addition, the company offers foundry alloys, such as foundry alloys, preconditioners, recarburizers, conditioners, nodularizers, inserts, and inoculants; and carbon based materials comprising furnace tapping materials, cathode ramming paste, furnace lining materials, electrode paste, and prebaked and other electrodes. The company was founded in 1904 and is headquartered in Oslo, Norway. Elkem ASA operates as a subsidiary of Bluestar Elkem International Co., Ltd. S.A.

About Alto Ingredients

Alto Ingredients, Inc. produces, distributes, and markets specialty alcohols, renewable fuel, and essential ingredients in the United States. The company operates in three segments: Marketing and Distribution, Pekin Campus Production, and Western Production. It offers specialty alcohols used in mouthwash, cosmetics, pharmaceuticals, hand sanitizers, disinfectants, and cleaners for health, home, and beauty markets; grain neutral spirits used in alcoholic beverages and vinegar, as well as corn germ used in corn oils in the food and beverage markets; alcohols and other products for paint applications and fertilizers in the industrial and agriculture markets; and essential ingredients include dried yeast, corn protein meal, corn protein feed, distiller's grains, and liquid feed for commercial animal feed and pet food applications, as well as yeast for human consumption. The company also provides fuel-grade ethanol used as transportation fuel and distillers corn oil used as a biodiesel feedstock, as well as fuel-grade ethanol produced by third parties. In addition, it offers transportation, storage, and delivery services through third-party service providers. The company sells ethanol to integrated oil companies and gasoline marketers; essential ingredient feed products to dairies and feedlots; and corn oil to poultry, renewable diesel, and biodiesel customers. It operates alcohol production facilities. The company was formerly known as Pacific Ethanol, Inc. and changed its name to Alto Ingredients, Inc. in January 2021. Alto Ingredients, Inc. was founded in 2003 and is headquartered in Pekin, Illinois.