Critical Survey: Solesence (SLSN) & Its Peers

Solesence (NASDAQ:SLSN) is one of 55 public companies in the “Personal Care Products” industry, but how does it compare to its peers? We will compare Solesence to similar businesses based on the strength of its profitability, analyst recommendations, valuation, risk, earnings, institutional ownership and dividends.

Analyst Ratings

This is a summary of recent ratings and price targets for Solesence and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solesence	1	0	0	0	1.00
Solesence Competitors	833	2778	3556	210	2.43

As a group, “Personal Care Products” companies have a potential upside of 1.73%. Given Solesence’s peers stronger consensus rating and higher possible upside, analysts plainly believe Solesence has less favorable growth aspects than its peers.

Profitability

This table compares Solesence and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Solesence	1.56%	5.39%	1.78%
Solesence Competitors	-6.02%	-112.34%	-0.10%

Valuation and Earnings

This table compares Solesence and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Solesence	$62.06 million	$1.79 million	107.00
Solesence Competitors	$7.90 billion	$1.08 billion	6.70

Solesence’s peers have higher revenue and earnings than Solesence. Solesence is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Risk & Volatility

Solesence has a beta of 1.25, indicating that its share price is 25% more volatile than the S&P 500. Comparatively, Solesence’s peers have a beta of 0.80, indicating that their average share price is 20% less volatile than the S&P 500.

Institutional & Insider Ownership

70.2% of Solesence shares are owned by institutional investors. Comparatively, 48.7% of shares of all “Personal Care Products” companies are owned by institutional investors. 4.8% of Solesence shares are owned by company insiders. Comparatively, 12.2% of shares of all “Personal Care Products” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Solesence peers beat Solesence on 7 of the 13 factors compared.

Solesence Company Profile

Nanophase Technologies Corporation provides engineered materials, formulation development, and commercial manufacturing with an integrated family of technologies in the United States. It offers surface engineered zinc oxide and titanium dioxide for sunscreens and personal care products; fully formulated cosmetics, sun care, and skin care under the Solésence brand name; and advanced materials products, such as architectural coatings, industrial coatings, abrasion-resistant additives, plastics additives, medical diagnostics, and various surface finishing technologies applications. The company was incorporated in 1989 and is headquartered in Romeoville, Illinois.