Critical Review: Perma-Pipe International (NASDAQ:PPIH) versus Molekule Group (NASDAQ:MKUL)

Molekule Group (NASDAQ:MKUL – Get Rating) and Perma-Pipe International (NASDAQ:PPIH – Get Rating) are both small-cap industrial products companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, dividends, profitability, institutional ownership, analyst recommendations and risk.

Profitability

This table compares Molekule Group and Perma-Pipe International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Molekule Group	-578.61%	-48.08%	-36.35%
Perma-Pipe International	3.93%	10.54%	4.55%

Earnings & Valuation

This table compares Molekule Group and Perma-Pipe International’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Molekule Group	$620,000.00	36.25	-$7.92 million	($0.28)	-5.18
Perma-Pipe International	$138.55 million	0.58	$6.06 million	$0.69	14.62

Perma-Pipe International has higher revenue and earnings than Molekule Group. Molekule Group is trading at a lower price-to-earnings ratio than Perma-Pipe International, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

4.0% of Molekule Group shares are owned by institutional investors. Comparatively, 23.9% of Perma-Pipe International shares are owned by institutional investors. 50.8% of Molekule Group shares are owned by company insiders. Comparatively, 6.4% of Perma-Pipe International shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current recommendations and price targets for Molekule Group and Perma-Pipe International, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Molekule Group	0	0	0	0	N/A
Perma-Pipe International	0	0	0	0	N/A

Volatility & Risk

Molekule Group has a beta of -6.71, indicating that its stock price is 771% less volatile than the S&P 500. Comparatively, Perma-Pipe International has a beta of 0.24, indicating that its stock price is 76% less volatile than the S&P 500.

Summary

Perma-Pipe International beats Molekule Group on 8 of the 10 factors compared between the two stocks.

About Molekule Group

(Get Rating)

AeroClean Technologies is a pathogen elimination technology company. It creates solutions for hospitals, offices and many shared spaces as well as elevators, aircraft and more. AeroClean Technologies is based in NEW YORK.

About Perma-Pipe International

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Perma-Pipe International Holdings, Inc. engages in the design, manufacture, and sale of specialty piping and leak detection systems. Its products include industrial and secondary containment piping systems for transporting chemicals, hazardous fluids and petroleum products, insulated and jacketed district heating and cooling piping systems for efficient energy distribution to multiple locations from central energy plants, and the coating and/or insulation of oil and gas gathering flow and long lines for oil or mineral transportation. The company was founded on October 12, 1993 and is headquartered in Spring, TX.