Huadi International Group (NASDAQ:HUDI) and Metallus (NYSE:MTUS) Head-To-Head Analysis
by Sarita Garza · The Markets DailyMetallus (NYSE:MTUS – Get Free Report) and Huadi International Group (NASDAQ:HUDI – Get Free Report) are both small-cap basic materials companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, earnings, profitability, dividends, risk and institutional ownership.
Risk & Volatility
Metallus has a beta of 1.31, indicating that its share price is 31% more volatile than the S&P 500. Comparatively, Huadi International Group has a beta of 2.14, indicating that its share price is 114% more volatile than the S&P 500.
Profitability
This table compares Metallus and Huadi International Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Metallus | -0.10% | 2.30% | 1.41% |
| Huadi International Group | N/A | N/A | N/A |
Analyst Ratings
This is a breakdown of recent ratings and target prices for Metallus and Huadi International Group, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Metallus | 2 | 2 | 1 | 0 | 1.80 |
| Huadi International Group | 1 | 0 | 0 | 0 | 1.00 |
Metallus currently has a consensus price target of $24.00, suggesting a potential upside of 40.70%. Given Metallus’ stronger consensus rating and higher probable upside, research analysts plainly believe Metallus is more favorable than Huadi International Group.
Institutional and Insider Ownership
77.6% of Metallus shares are owned by institutional investors. Comparatively, 0.2% of Huadi International Group shares are owned by institutional investors. 3.8% of Metallus shares are owned by insiders. Comparatively, 75.6% of Huadi International Group shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Valuation and Earnings
This table compares Metallus and Huadi International Group”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Metallus | $1.16 billion | 0.61 | -$1.20 million | ($0.03) | -568.57 |
| Huadi International Group | $62.90 million | 0.29 | -$1.40 million | N/A | N/A |
Metallus has higher revenue and earnings than Huadi International Group.
Summary
Metallus beats Huadi International Group on 9 of the 12 factors compared between the two stocks.
About Metallus
Metallus Inc. manufactures and sells alloy steel, and carbon and micro-alloy steel products in the United States and internationally. The company offers special bar quality (SBQ) bars, seamless mechanical tubes, precision steel components, and billets that are used in gears, hubs, axles, crankshafts and motor shafts, oil country drill pipes, bits and collars, bearing races and rolling elements, bushings, fuel injectors, wind energy shafts, anti-friction bearings, artillery and mortar bodies, and other applications. It also provides custom-make precision steel components. It offers its products and services to the automotive, energy, industrial equipment, mining, construction, rail, aerospace and defense, heavy truck, agriculture, and power generation sectors. The company was formerly known as TimkenSteel Corporation and changed its name to Metallus Inc. in February 2024. Metallus Inc. was founded in 1899 and is headquartered in Canton, Ohio.
About Huadi International Group
Huadi International Group Co., Ltd. manufactures and sells industrial stainless steel seamless pipes and tubes in the People's Republic of China. The company's products are used in the oil and gas transmission, chemistry engineering, food processing, medical devices, aeronautics and astronautics, boiler, irrigation works construction, electricity, automobile, naval architecture, paper mill, and mechanical industries. It also exports its products to 20 countries, including the United States, Mexico, Thailand, Australia, Argentina, India, the Philippines, the United Arab Emirates, Taiwan, Canada, and internationally. The company was founded in 1992 and is based in Wenzhou, the People's Republic of China.