Critical Contrast: Aduro Clean Technologies (NASDAQ:ADUR) and Ingevity (NYSE:NGVT)

Aduro Clean Technologies (NASDAQ:ADUR) and Ingevity (NYSE:NGVT) are both small-cap companies, but which is the better stock? We will compare the two companies based on the strength of their dividends, institutional ownership, earnings, profitability, analyst recommendations, risk and valuation.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Aduro Clean Technologies and Ingevity, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aduro Clean Technologies	0	0	0	0	0.00
Ingevity	0	2	4	0	2.67

Ingevity has a consensus price target of $55.17, suggesting a potential upside of 16.08%. Given Ingevity’s stronger consensus rating and higher possible upside, analysts clearly believe Ingevity is more favorable than Aduro Clean Technologies.

Profitability

This table compares Aduro Clean Technologies and Ingevity’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Aduro Clean Technologies	N/A	N/A	N/A
Ingevity	-30.60%	41.44%	5.76%

Valuation and Earnings

This table compares Aduro Clean Technologies and Ingevity”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Aduro Clean Technologies	$299,021.00	495.49	N/A	N/A	N/A
Ingevity	$1.41 billion	1.23	-$430.40 million	($11.84)	-4.01

Aduro Clean Technologies has higher earnings, but lower revenue than Ingevity.

Insider and Institutional Ownership

91.6% of Ingevity shares are held by institutional investors. 1.1% of Ingevity shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Ingevity beats Aduro Clean Technologies on 8 of the 10 factors compared between the two stocks.

About Aduro Clean Technologies

Aduro Clean Technologies is a developer of patented water-based technologies to chemically recycle waste plastics; convert heavy crude and bitumen into lighter, more valuable oil and transform renewable oils into higher-value fuels or renewable chemicals. Aduro Clean Technologies is based in LONDON, Ontario.

About Ingevity

Ingevity Corporation manufactures and sells activated carbon products, derivative specialty chemicals, and engineered polymers in North America, the Asia Pacific, Europe, the Middle East, Africa, and South America. It operates through three segments: Performance Materials, Performance Chemicals, and Advanced Polymer Technologies. The Performance Materials segment engineers, manufactures, and sells hardwood-based and chemically activated carbon products for use in gasoline vapor emission control systems in cars, motorcycles, trucks, and boats. This segment also produces other activated carbon products for food, water, beverage, and chemical purification applications. The Performance Chemicals segment consists of road technologies and industrial specialties. This segment's products are used in pavement construction, pavement preservation, pavement reconstruction and recycling, road markings, agrochemical dispersants, paper chemicals, and other industrial uses. The Advanced Polymer Technologies segment produces caprolactone and caprolactone-based specialty polymers for use in coatings, resins, elastomers, adhesives, bioplastics, and medical devices. It serves automotive parts and components manufacturers through sales representatives and distributors. The company was formerly known as WestRock Company, Specialty Chemicals Business and changed its name to Ingevity Corporation in September 2015. Ingevity Corporation was founded in 1964 and is headquartered in North Charleston, South Carolina.