ReTo Eco-Solutions (NASDAQ:RETO) vs. Cemex (NYSE:CX) Financial Review

Cemex (NYSE:CX) and ReTo Eco-Solutions (NASDAQ:RETO) are both construction companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, risk, analyst recommendations, earnings, valuation, profitability and dividends.

Valuation & Earnings

This table compares Cemex and ReTo Eco-Solutions”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cemex	$16.20 billion	0.84	$939.00 million	$1.02	9.20
ReTo Eco-Solutions	$1.83 million	6.19	-$8.35 million	N/A	N/A

Cemex has higher revenue and earnings than ReTo Eco-Solutions.

Risk and Volatility

Cemex has a beta of 1.43, meaning that its share price is 43% more volatile than the S&P 500. Comparatively, ReTo Eco-Solutions has a beta of 1.26, meaning that its share price is 26% more volatile than the S&P 500.

Profitability

This table compares Cemex and ReTo Eco-Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cemex	9.61%	6.89%	3.18%
ReTo Eco-Solutions	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Cemex and ReTo Eco-Solutions, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cemex	1	4	4	0	2.33
ReTo Eco-Solutions	0	0	0	0	0.00

Cemex currently has a consensus target price of $9.02, indicating a potential downside of 3.82%. Given Cemex’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Cemex is more favorable than ReTo Eco-Solutions.

Institutional & Insider Ownership

83.0% of Cemex shares are owned by institutional investors. Comparatively, 6.3% of ReTo Eco-Solutions shares are owned by institutional investors. 1.0% of Cemex shares are owned by insiders. Comparatively, 18.7% of ReTo Eco-Solutions shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Cemex beats ReTo Eco-Solutions on 10 of the 12 factors compared between the two stocks.

About Cemex

CEMEX, S.A.B. de C.V., together with its subsidiaries, produces, markets, distributes, and sells cement, ready-mix concrete, aggregates, urbanization solutions, and other construction materials and services worldwide. The company offers gray ordinary portland, white portland, oil-well, and blended cement products; mortar; and standard ready-mix, architectural and decorative, rapid-setting, fiber-reinforced, fluid-fill, roller-compacted, self-consolidating, pervious, and antibacterial, and other concrete products. It also provides crushed stone, sand, gravel, and recycled concrete products; performance materials, such as admixtures, mortars, special mortars, and asphalt; and waste management services comprising municipal and industrial, construction, demolition and excavation, and alternative raw materials. In addition, the company construction related services, including logistics and transportation, retail, pavement services, design and engineering, and others; and industrial construction products consist of precast components, 2D panels, 3D modules, and complete structures. CEMEX, S.A.B. de C.V. was founded in 1906 and is headquartered in San Pedro Garza García, Mexico.

About ReTo Eco-Solutions

ReTo Eco-Solutions, Inc., together with its subsidiaries, manufactures and distributes construction materials primarily in China. Its products include aggregates, bricks, pavers, and tiles. The company's construction materials are used for water absorption, flood control, and water retention; for gardens, roads, bridges, city squares, retaining walls, and slope construction; for hydraulic ecological projects, such as slope protection and river transformation; and for insulation, decoration, and building walls. It also offers construction materials manufacturing equipment, such as automated production equipment with hydraulic integration in China, South Asia, North America, the Middle East, North Africa, and Southeast Asia. In addition, the company undertakes municipal construction projects, including sponge city projects. Further, it offers roadside assistance services, including towing, jump start, tire change, automobile repair services, and other services; and provision of designs, develops, and sells customized software solutions, such as logistics management system, retail management system, fleet management system, and vehicle rental management system. Additionally, the company provides parts, engineering support, consulting, technical advice and service, and other project-related solutions for environmental protection projects. ReTo Eco-Solutions, Inc. was founded in 1999 and is headquartered in Beijing, the People's Republic of China.