Ingevity (NYSE:NGVT) versus Aduro Clean Technologies (NASDAQ:ADUR) Financial Review

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

Institutional and Insider 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.

Earnings and Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ingevity	$1.69 billion	0.96	-$564.52 million	($15.53)	-2.86
Aduro Clean Technologies	N/A	N/A	N/A	N/A	N/A

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

Analyst Ratings

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ingevity	0	3	3	0	2.50
Aduro Clean Technologies	0	0	0	0	0.00

Ingevity presently has a consensus target price of $52.17, indicating a potential upside of 17.25%. Given Ingevity’s stronger consensus rating and higher probable upside, analysts plainly believe Ingevity is more favorable than Aduro Clean Technologies.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Ingevity	-38.11%	24.46%	4.29%
Aduro Clean Technologies	N/A	N/A	N/A

Summary

Ingevity beats Aduro Clean Technologies on 8 of the 9 factors compared between the two stocks.

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.

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.