Contrasting Solidion Technology (NASDAQ:STI) and GrafTech International (NYSE:EAF)

GrafTech International (NYSE:EAF) and Solidion Technology (NASDAQ:STI) are both small-cap industrials companies, but which is the better business? We will compare the two companies based on the strength of their profitability, institutional ownership, valuation, risk, analyst recommendations, earnings and dividends.

Insider & Institutional Ownership

92.8% of GrafTech International shares are owned by institutional investors. 1.2% of GrafTech International shares are owned by insiders. Comparatively, 0.4% of Solidion Technology shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares GrafTech International and Solidion Technology”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GrafTech International	$512.92 million	0.48	-$219.84 million	($6.80)	-1.38
Solidion Technology	$219,690.00	205.76	-$41.00 million	($12.85)	-0.41

Solidion Technology has lower revenue, but higher earnings than GrafTech International. GrafTech International is trading at a lower price-to-earnings ratio than Solidion Technology, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations for GrafTech International and Solidion Technology, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GrafTech International	2	4	0	0	1.67
Solidion Technology	1	0	0	0	1.00

GrafTech International presently has a consensus target price of $10.67, suggesting a potential upside of 14.03%. Given GrafTech International’s stronger consensus rating and higher possible upside, equities research analysts plainly believe GrafTech International is more favorable than Solidion Technology.

Profitability

This table compares GrafTech International and Solidion Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GrafTech International	-34.58%	N/A	-17.50%
Solidion Technology	N/A	N/A	-119.29%

Volatility & Risk

GrafTech International has a beta of 1.84, meaning that its share price is 84% more volatile than the S&P 500. Comparatively, Solidion Technology has a beta of 0.04, meaning that its share price is 96% less volatile than the S&P 500.

Dividends

GrafTech International pays an annual dividend of $0.04 per share and has a dividend yield of 0.4%. Solidion Technology pays an annual dividend of $2.24 per share and has a dividend yield of 42.2%. GrafTech International pays out -0.6% of its earnings in the form of a dividend. Solidion Technology pays out -17.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Solidion Technology is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

GrafTech International beats Solidion Technology on 8 of the 14 factors compared between the two stocks.

About GrafTech International

GrafTech International Ltd. research, develops, manufactures, and sells graphite and carbon-based solutions worldwide. The company offers graphite electrodes to produce electric arc furnace steel and other ferrous and non-ferrous metals; and petroleum needle coke, a crystalline form of carbon used in the production of graphite electrodes and synthetic graphite. It sells its products primarily through direct sales force, independent sales representatives, and distributors. GrafTech International Ltd. was founded in 1886 and is headquartered in Brooklyn Heights, Ohio.

About Solidion Technology

Solidion Technology Inc. engages in the development and supply of battery materials, components, cells, and selected module/pack technologies. Its products include advanced anode materials; three classes of solid-state batteries, including silicon-rich all-solid-state lithium-ion cells; anode less lithium metal cells; and lithium-sulfur cells. The company was formerly known as Honeycomb Battery Company and changed its name to Solidion Technology Inc. in February 2024. The company was incorporated in 2014 and is based in Dayton, Ohio. Solidion Technology Inc. operates as a subsidiary of Global Graphene Group, Inc.