Head-To-Head Review: Shin-Etsu Chemical (OTCMKTS:SHECY) & Bureau Veritas (OTCMKTS:BVRDF)

Shin-Etsu Chemical (OTCMKTS:SHECY) and Bureau Veritas (OTCMKTS:BVRDF) are both large-cap basic materials companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, analyst recommendations, profitability, institutional ownership and risk.

Insider & Institutional Ownership

0.0% of Shin-Etsu Chemical shares are owned by institutional investors. 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.

Profitability

This table compares Shin-Etsu Chemical and Bureau Veritas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Shin-Etsu Chemical	21.64%	11.27%	9.75%
Bureau Veritas	N/A	N/A	N/A

Risk and Volatility

Shin-Etsu Chemical has a beta of 1.34, suggesting that its share price is 34% more volatile than the S&P 500. Comparatively, Bureau Veritas has a beta of 0.75, suggesting that its share price is 25% less volatile than the S&P 500.

Valuation & Earnings

This table compares Shin-Etsu Chemical and Bureau Veritas”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Shin-Etsu Chemical	$16.73 billion	3.70	$3.44 billion	$0.88	17.69
Bureau Veritas	$6.35 billion	2.32	$545.16 million	N/A	N/A

Shin-Etsu Chemical has higher revenue and earnings than Bureau Veritas.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Shin-Etsu Chemical and Bureau Veritas, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shin-Etsu Chemical	0	0	0	0	0.00
Bureau Veritas	0	1	0	1	3.00

Summary

Shin-Etsu Chemical beats Bureau Veritas on 8 of the 10 factors compared between the two stocks.

About Shin-Etsu Chemical

Shin-Etsu Chemical Co., Ltd. provides infrastructure, electronics, and functional materials in Japan. It is also involved in processing and specialized related services. The company operates through Infrastructure Materials; Electronics Materials; Functional Materials; and Processing and Specialized Services segments. In addition, it offers cellulose derivatives, synthetic pheromones, aroma chemicals, dielectric and LED/ semiconductor materials, silanes, photoresists, chlorides, caustic soda, liquid fluoroelastomers, polyvinyl chloride and vinyl acetate resin, silicones, and silicones processed goods. Further, the company offers pellicles, photomask blanks, synthetic quartz/ quartz cloth, pyrolytic boron nitride, LIB anode material, and silicon metal. Additionally, it provides rare earth magnets, compound semiconductors, and oxide single crystals. The company was formerly known as Shin-Etsu Nitrogen Fertilizer Co., Ltd. and changed its name to Shin-Etsu Chemical Co., Ltd. in 1940. Shin-Etsu Chemical Co., Ltd. was incorporated in 1926 and is headquartered in Tokyo, Japan.

About Bureau Veritas

Bureau Veritas SA provides laboratory testing, inspection, and certification services. It operates through six segments: Marine & Offshore; Agri-Food & Commodities; Buildings & Infrastructure; Industry; Certification; and Consumer Products. The company engages in inspecting, analyzing, auditing, and certifying the products, assets, and management systems of its clients in relation to regulatory or self-imposed standards, as well as issues compliance reports. It also provides laboratory and on-site testing services for manufacturing and process industries; inspection services for products, services, assets, and installations, as well as various services designed to control quality, verify quantity, and meet regulatory requirements; and certification services for management systems, products, and people. The company serves automotive and transportation, building and infrastructure, chemicals, commodities and agriculture, consumer products and retail, food, marine and offshore, oil and gas, and power and utilities industries, as well as financial services and public sectors. It operates in approximately 140 countries through a network of offices and laboratories. Bureau Veritas SA was founded in 1828 and is headquartered in Neuilly-sur-Seine, France.