Critical Review: Orchids Paper Products (OTCMKTS:TISUQ) & Magnera (NYSE:MAGN)

Magnera (NYSE:MAGN) and Orchids Paper Products (OTCMKTS:TISUQ) are both construction companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, dividends, profitability, institutional ownership, risk and valuation.

Profitability

This table compares Magnera and Orchids Paper Products’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Magnera	-6.97%	-22.40%	-4.57%
Orchids Paper Products	N/A	N/A	N/A

Valuation and Earnings

This table compares Magnera and Orchids Paper Products”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Magnera	$702.00 million	0.11	-$79.05 million	($18.34)	-1.17
Orchids Paper Products	N/A	N/A	N/A	N/A	N/A

Orchids Paper Products has lower revenue, but higher earnings than Magnera.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Magnera and Orchids Paper Products, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Magnera	0	0	1	0	3.00
Orchids Paper Products	0	0	0	0	0.00

Magnera presently has a consensus target price of $24.00, indicating a potential upside of 11.52%. Given Magnera’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Magnera is more favorable than Orchids Paper Products.

Institutional & Insider Ownership

76.9% of Magnera shares are held by institutional investors. 2.3% of Magnera shares are held by company insiders. Comparatively, 11.4% of Orchids Paper Products shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Magnera beats Orchids Paper Products on 5 of the 9 factors compared between the two stocks.

About Magnera

Magnera’s purpose is to better the world with new possibilities made real. By continuously co-creating and innovating with our partners, we develop original material solutions that make a brighter future possible. With a breadth of technologies and a passion for what we create, Magnera’s solutions propel our customers’ goals forward and solve end-users’ problems, every day.

About Orchids Paper Products

Orchids Paper Products Company is a tissue paper company that manufacturers and converts tissue product for the private label consumer market.