Comparing Ajinomoto (OTCMKTS:AJINY) & Recordati Industria Chimica e Farmaceutica (OTCMKTS:RCDTF)

Recordati Industria Chimica e Farmaceutica (OTCMKTS:RCDTF) and Ajinomoto (OTCMKTS:AJINY) are both medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, risk, profitability, institutional ownership, analyst recommendations, dividends and earnings.

Valuation & Earnings

This table compares Recordati Industria Chimica e Farmaceutica and Ajinomoto”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Recordati Industria Chimica e Farmaceutica	$2.25 billion	N/A	$421.25 million	$2.00	25.81
Ajinomoto	$9.97 billion	2.17	$601.14 million	$1.19	35.83

Ajinomoto has higher revenue and earnings than Recordati Industria Chimica e Farmaceutica. Recordati Industria Chimica e Farmaceutica is trading at a lower price-to-earnings ratio than Ajinomoto, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Recordati Industria Chimica e Farmaceutica has a beta of 0.34, suggesting that its share price is 66% less volatile than the S&P 500. Comparatively, Ajinomoto has a beta of 0.09, suggesting that its share price is 91% less volatile than the S&P 500.

Profitability

This table compares Recordati Industria Chimica e Farmaceutica and Ajinomoto’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Recordati Industria Chimica e Farmaceutica	17.41%	30.78%	12.65%
Ajinomoto	6.07%	10.40%	5.07%

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Recordati Industria Chimica e Farmaceutica and Ajinomoto, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Recordati Industria Chimica e Farmaceutica	1	1	0	0	1.50
Ajinomoto	0	0	0	0	0.00

Summary

Recordati Industria Chimica e Farmaceutica beats Ajinomoto on 6 of the 9 factors compared between the two stocks.

About Recordati Industria Chimica e Farmaceutica

Recordati Industria Chimica e Farmaceutica S.p.A., together with its subsidiaries, engages in the research, development, manufacture, and marketing of pharmaceuticals worldwide. The company operates through Specialty and Primary Care and Rare Diseases segments. Its product pipeline includes REC 0559 which is in Phase II for the treatment of Neurotrophic Keratitis; REC 0545 for acute decompensation in maple syrup urine diseases; ISTURISA for endogenous Cushing's syndrome; and CYSTADROPS, an corneal cystine deposits in patients with cystinosis. The company also develops CARBAGLU for hyperammonemia due to NAGS deficiency; QARZIBA, an apeiron for the treatment of high-risk neuroblastoma patients with a partial response at the chemotherapeutical through myeloablative therapy and stem cell transplantation, and relapsed or refractory neuroblastoma. In addition, it offers SYLVANT for the treatment of idiopathic multicentric Castleman diseases; REAGILA for Schizophrenia; and ELIGARD for hormone-dependent prostate cancer, as well as CAPHOSOL, a medical device for treatment of oral mucositis due to chemo and radiation therapy. The company was founded in 1926 and is headquartered in Milan, Italy. Recordati Industria Chimica e Farmaceutica S.p.A. operates as a subsidiary of Rossini S.à R.L.

About Ajinomoto

Ajinomoto Co., Inc. engages in the seasonings and foods, frozen foods, and healthcare and other businesses in Japan and internationally. The Seasonings and Foods segment offers sauces and seasoning products under the AJI-NO-MOTO, HON-DASHI, Cook Do, Ajinomoto KK Consommé, Pure Select Mayonnaise, Ros Dee, Masako, Aji-ngon, Sazón, Sajiku, and CRISPY FRY names; and solutions and ingredients for foodservice and processed food manufacturers, processed foods, and restaurants, as well as industrial, retail, and other applications. This segment also provides instant noodles under the Knorr Cup Soup and YumYum names; coffee beverages under the Birdy and Blendy brands; powdered drink under the Birdy 3in1 name; MAXIM brand products; Chyotto Zeitakuna Kohiten brand products; and gift sets and office supplies comprising coffee vending machines, tea servers, etc. The Frozen Foods segment offers Chinese dumplings, cooked rice, noodles, desserts, shumai, processed chicken, and other products under the AJINOMOTO FRESH FROZEN, Bernardi, FRED’S, Golden Tiger, José Olé, LingLing, POSADA, and TAI PEI brands. The Healthcare and Other segment provides amino acids for applications in various industries, such as pharmaceuticals and foods; contract development and manufacturing services for pharmaceutical intermediates and active ingredients, aseptic fill finish services, etc.; personal care ingredients; and medical foods, crop services, etc. This segment also offers Ajinomoto Build-up Film, an interlayer insulating material for semiconductor packages; fundamental foods under the Glyna and Amino Aile names; sports nutrition supplements under the amino VITAL brand; and functional materials, such as activated carbon, release paper, etc. Ajinomoto Co., Inc. was founded in 1909 and is headquartered in Tokyo, Japan.