5N Plus (OTCMKTS:FPLSF) vs. Avient (NYSE:AVNT) Critical Survey

Avient (NYSE:AVNT) and 5N Plus (OTCMKTS:FPLSF) are both mid-cap materials companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, risk, institutional ownership, earnings, profitability, valuation and analyst recommendations.

Volatility and Risk

Avient has a beta of 1.23, indicating that its stock price is 23% more volatile than the S&P 500. Comparatively, 5N Plus has a beta of 1.94, indicating that its stock price is 94% more volatile than the S&P 500.

Institutional and Insider Ownership

95.5% of Avient shares are owned by institutional investors. Comparatively, 0.1% of 5N Plus shares are owned by institutional investors. 0.9% of Avient shares are owned by company insiders. Comparatively, 3.9% of 5N Plus shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Avient and 5N Plus”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Avient	$3.26 billion	1.30	$81.90 million	$1.95	23.77
5N Plus	$391.06 million	5.77	$50.57 million	$0.64	39.22

Avient has higher revenue and earnings than 5N Plus. Avient is trading at a lower price-to-earnings ratio than 5N Plus, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current ratings and price targets for Avient and 5N Plus, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Avient	0	4	3	0	2.43
5N Plus	0	1	2	1	3.00

Avient presently has a consensus price target of $48.75, suggesting a potential upside of 5.19%. Given Avient’s higher possible upside, analysts clearly believe Avient is more favorable than 5N Plus.

Profitability

This table compares Avient and 5N Plus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Avient	5.27%	12.17%	4.95%
5N Plus	11.99%	26.34%	11.39%

Summary

5N Plus beats Avient on 9 of the 15 factors compared between the two stocks.

About Avient

Avient Corporation operates as a formulator of material solutions in the United States, Canada, Mexico, Europe, South America, and Asia. It operates in two segments, Color, Additives and Inks; and Specialty Engineered Materials. The Color, Additives and Inks segment offers custom color and additive concentrates in solid and liquid form for thermoplastics, dispersions for thermosets, and specialty inks; custom-formulated liquid system, such as polyester, vinyl, natural rubber and latex, polyurethane, and silicone; and proprietary inks. Its products are used in medical and pharmaceutical devices, food packaging, personal care and cosmetics, transportation, building products, wire and cable, recreational and athletic apparel, construction and filtration, outdoor furniture, healthcare, textiles and appliances, and industrial markets. The Specialty Engineered Materials segment provides specialty polymer formulations, services, and solutions for designers, assemblers, and processors of thermoplastic materials. It sells its products through direct sales personnel, distributors, and commissioned sales agents. The company was formerly known as PolyOne Corporation and changed its name to Avient Corporation in June 2020. Avient Corporation was founded in 1885 and is headquartered in Avon Lake, Ohio.

About 5N Plus

5N Plus Inc. produces and sells specialty metals and chemicals in North America, Europe, and Asia. It operates through two segments, Specialty Semiconductors and Performance Materials. The company offers semiconductor compounds, semiconductor wafers, metals, epitaxial semiconductor substrates, and solar cells. It also provides active pharmaceutical ingredients, animal feed additives, specialized chemicals, commercial grade metals, alloys, engineered powders, and recycling services. The company serves renewable energy, security, space, pharmaceutical, medical imaging, manufacturing, electronic, consumer, and industrial application markets. 5N Plus Inc. is headquartered in Montreal, Canada.