Anhui Conch Cement (OTCMKTS:AHCHY) vs. United States Lime & Minerals (NASDAQ:USLM) Critical Survey

Anhui Conch Cement (OTCMKTS:AHCHY) and United States Lime & Minerals (NASDAQ:USLM) are both construction companies, but which is the superior stock? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, institutional ownership, risk, valuation, earnings and dividends.

Risk & Volatility

Anhui Conch Cement has a beta of 0.24, meaning that its stock price is 76% less volatile than the S&P 500. Comparatively, United States Lime & Minerals has a beta of 1.02, meaning that its stock price is 2% more volatile than the S&P 500.

Insider & Institutional Ownership

27.1% of United States Lime & Minerals shares are held by institutional investors. 1.5% of United States Lime & Minerals shares are held by insiders. 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.

Valuation and Earnings

This table compares Anhui Conch Cement and United States Lime & Minerals”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Anhui Conch Cement	$12.66 billion	N/A	$1.12 billion	$1.22	12.64
United States Lime & Minerals	$317.72 million	10.91	$108.84 million	$4.36	27.75

Anhui Conch Cement has higher revenue and earnings than United States Lime & Minerals. Anhui Conch Cement is trading at a lower price-to-earnings ratio than United States Lime & Minerals, indicating that it is currently the more affordable of the two stocks.

Dividends

Anhui Conch Cement pays an annual dividend of $0.37 per share and has a dividend yield of 2.4%. United States Lime & Minerals pays an annual dividend of $0.24 per share and has a dividend yield of 0.2%. Anhui Conch Cement pays out 30.3% of its earnings in the form of a dividend. United States Lime & Minerals pays out 5.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. United States Lime & Minerals has raised its dividend for 2 consecutive years.

Profitability

This table compares Anhui Conch Cement and United States Lime & Minerals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Anhui Conch Cement	10.74%	4.65%	3.67%
United States Lime & Minerals	35.57%	24.24%	22.20%

Analyst Recommendations

This is a summary of current ratings and price targets for Anhui Conch Cement and United States Lime & Minerals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Anhui Conch Cement	0	0	0	1	4.00
United States Lime & Minerals	0	0	0	0	0.00

Summary

United States Lime & Minerals beats Anhui Conch Cement on 10 of the 15 factors compared between the two stocks.

About Anhui Conch Cement

Anhui Conch Cement Company Limited, together with its subsidiaries, manufactures, sells, and trades in clinker and cement products. The company operates through five segments: Eastern China, Central China, Southern China, Western China, and Overseas. It provides construction and installation services for industrial purposes; logistic services; and mining and related services. The company manufactures and sells cement packaging products, concrete products, and refractory materials; and develops and sells profile and related products, as well as exports clinker and cement products. In addition, it engages in investment and trading, and selling aggregates. Anhui Conch Cement Company Limited was founded in 1997 and is based in Wuhu, the People's Republic of China.

About United States Lime & Minerals

United States Lime & Minerals, Inc. engages in the manufacture and sale of lime and limestone products. Its products include High Calcium Quicklime, Hydrated Lime, Lime Kiln Dust, Lime Slurry, and High Calcium Limestone. The company was founded in 1948 and is headquartered in Dallas, TX.