Financial Comparison: Clearwater Paper (NYSE:CLW) versus Infinya (OTCMKTS:HAIPF)

Infinya (OTCMKTS:HAIPF) and Clearwater Paper (NYSE:CLW) are both small-cap materials companies, but which is the better investment? We will compare the two businesses based on the strength of their analyst recommendations, valuation, earnings, profitability, institutional ownership, risk and dividends.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Infinya and Clearwater Paper, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Infinya	0	0	0	0	0.00
Clearwater Paper	1	5	2	0	2.12

Clearwater Paper has a consensus target price of $18.50, suggesting a potential downside of 10.89%. Given Infinya’s higher possible upside, analysts plainly believe Infinya is more favorable than Clearwater Paper.

Institutional & Insider Ownership

90.0% of Clearwater Paper shares are owned by institutional investors. 11.5% of Infinya shares are owned by insiders. Comparatively, 2.4% of Clearwater Paper shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Infinya and Clearwater Paper’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Infinya	N/A	N/A	N/A
Clearwater Paper	-3.24%	-7.95%	-4.06%

Volatility & Risk

Infinya has a beta of 0.85, indicating that its share price is 15% less volatile than the S&P 500. Comparatively, Clearwater Paper has a beta of 0.24, indicating that its share price is 76% less volatile than the S&P 500.

Valuation and Earnings

This table compares Infinya and Clearwater Paper”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Infinya	N/A	N/A	N/A	N/A	N/A
Clearwater Paper	$1.56 billion	0.22	-$18.60 million	($3.04)	-6.83

Infinya has higher earnings, but lower revenue than Clearwater Paper.

Summary

Infinya beats Clearwater Paper on 6 of the 10 factors compared between the two stocks.

About Infinya

Infinya Ltd. engages in the manufacture and marketing of writing and printing paper, packaging cartons, and in the collection and processing of waste paper. It operates through the following segments: Recycling, Paper Rolls for Carton, Carton Packaging. The Recycling segment engages in the processing and recycling of waste paper, waste carton, and plastic. The Paper Rolls for Carton segment engages in the sale of recycled paper rolls for cartons to companies engaging in the manufacture of carton packages. The Carton Packaging segment engages in the sale of carton packaging products for consumer goods. The company was founded in 1951, and is headquartered in Hadera, Israel.

About Clearwater Paper

Clearwater Paper Corporation manufactures and supplies bleached paperboards, and consumer and parent roll tissues in the United States and internationally. It operates through Pulp and Paperboard, and Consumer Products segments. The Pulp and Paperboard segment manufactures and markets bleached paperboard; Solid Bleached Sulfate paperboard that is used to produce folding cartons, liquid packaging, cups and plates, blister and carded packaging, and top sheet and commercial printing items; and hardwood and softwood pulp, as well as offers services that include custom sheeting, slitting, and cutting. It sells its products to carton converters, folding carton converters, merchants, and commercial printers. The Consumer Products segment provides a line of at-home tissue products, including bath tissues, paper towels, facial tissues, and napkins; recycled fiber value grade products; and away-from-home tissues. This segment sells its products to retailers, including grocery, club, mass merchants, and discount stores. The company was incorporated in 2005 and is based in Spokane, Washington.