Head-To-Head Survey: 5E Advanced Materials (NASDAQ:FEAM) versus H. B. Fuller (NYSE:FUL)

5E Advanced Materials (NASDAQ:FEAM) and H. B. Fuller (NYSE:FUL) are both basic materials companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, earnings, dividends, profitability, risk and institutional ownership.

Volatility and Risk

5E Advanced Materials has a beta of 1.54, indicating that its share price is 54% more volatile than the S&P 500. Comparatively, H. B. Fuller has a beta of 1.14, indicating that its share price is 14% more volatile than the S&P 500.

Profitability

This table compares 5E Advanced Materials and H. B. Fuller’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
5E Advanced Materials	N/A	-313.00%	-68.37%
H. B. Fuller	2.92%	11.50%	4.21%

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for 5E Advanced Materials and H. B. Fuller, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
5E Advanced Materials	0	0	3	0	3.00
H. B. Fuller	1	3	2	1	2.43

5E Advanced Materials presently has a consensus target price of $83.17, suggesting a potential upside of 2,276.19%. H. B. Fuller has a consensus target price of $67.25, suggesting a potential upside of 12.11%. Given 5E Advanced Materials’ stronger consensus rating and higher possible upside, research analysts clearly believe 5E Advanced Materials is more favorable than H. B. Fuller.

Earnings and Valuation

This table compares 5E Advanced Materials and H. B. Fuller”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
5E Advanced Materials	N/A	N/A	-$62.01 million	($15.95)	-0.22
H. B. Fuller	$3.57 billion	0.91	$130.26 million	$1.85	32.42

H. B. Fuller has higher revenue and earnings than 5E Advanced Materials. 5E Advanced Materials is trading at a lower price-to-earnings ratio than H. B. Fuller, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

95.9% of H. B. Fuller shares are owned by institutional investors. 0.5% of 5E Advanced Materials shares are owned by insiders. Comparatively, 2.0% of H. B. Fuller shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

H. B. Fuller beats 5E Advanced Materials on 10 of the 14 factors compared between the two stocks.

About 5E Advanced Materials

5E Advanced Materials, Inc. engages in the exploration and development of mineral properties in Australia and the United States. The company primarily explores for borates and lithium deposits. It holds 100% interest in the Fort Cady project located in the Mojave Desert region in eastern San Bernardino County, California. The company was formerly known as American Pacific Borates Limited. The company was incorporated in 2016 and is based in Hesperia, California.

About H. B. Fuller

H.B. Fuller Company, together with its subsidiaries, formulates, manufactures, and markets adhesives, sealants, coatings, polymers, tapes, encapsulants, additives, and other specialty chemical products. It operates through three segments: Hygiene, Health and Consumable Adhesives; Engineering Adhesives; and Construction Adhesives. The Hygiene, Health and Consumable Adhesives segment produces and supplies specialty industrial adhesives, such as thermoplastic, thermoset, reactive, water-based, and solvent-based products for applications in various markets, including packaging, converting, nonwoven and hygiene, and health and beauty. The Engineering Adhesives segment produces and supplies high performance industrial adhesives comprising reactive, light cure, two-part liquids, polyurethane, silicone, film, and fast cure products to the durable assembly, performance wood and textile, transportation, electronics, clean energy, aerospace and defense, appliance, heavy machinery, and insulating glass markets. The Construction Adhesives segment provides products used for tile setting, commercial roofing, heating, ventilation, and air conditioning and insulation applications, as well as caulks and sealants for the consumer market and professional trade. The company sells its products directly to customers, as well as through distributors and retailers in the Americas, Europe, India, the Middle East, Africa, and the Asia Pacific. H.B. Fuller Company was founded in 1887 and is headquartered in Saint Paul, Minnesota.