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KWR vs SGML

KWR
Quaker Chemical Corporation
NEUTRAL
Price
$139.27
Market Cap
$2.41B
Sector
Basic Materials
AI Confidence
80%
SGML
Sigma Lithium Corporation
BEARISH
Price
$19.72
Market Cap
$2.2B
Sector
Basic Materials
AI Confidence
95%

Valuation

P/E Ratio
KWR
--
SGML
--
Forward P/E
KWR
15.01
SGML
17.73
P/B Ratio
KWR
1.76
SGML
38.82
P/S Ratio
KWR
1.28
SGML
19.97
EV/EBITDA
KWR
10.96
SGML
-212.84

Profitability

Gross Margin
KWR
36.29%
SGML
9.52%
Operating Margin
KWR
9.0%
SGML
9.53%
Profit Margin
KWR
-0.13%
SGML
-45.62%
ROE
KWR
-0.18%
SGML
-67.38%
ROA
KWR
4.47%
SGML
-4.29%

Growth

Revenue Growth
KWR
5.5%
SGML
-64.3%
Earnings Growth
KWR
48.6%
SGML
--

Financial Health

Debt/Equity
KWR
0.66
SGML
2.53
Current Ratio
KWR
2.42
SGML
0.25
Quick Ratio
KWR
1.57
SGML
0.07

Dividends

Dividend Yield
KWR
1.46%
SGML
--
Payout Ratio
KWR
35.61%
SGML
0.0%

AI Verdict

KWR NEUTRAL

KWR exhibits a stark divergence between analyst optimism and fundamental health, headlined by a weak Piotroski F-Score of 2/9. While the company shows strong liquidity (Current Ratio 2.42) and impressive year-over-year earnings growth of 48.6%, current profitability is concerning with a negative profit margin (-0.13%) and negative ROE (-0.18%). The stock is currently viewed as a recovery play, supported by a 'Strong Buy' analyst consensus and a target price of $169.20, but the underlying deterministic health scores suggest significant operational instability.

Strengths
Strong liquidity position with a Current Ratio of 2.42 and Quick Ratio of 1.57
High year-over-year earnings growth of 48.60%
Sustainable dividend payout ratio of 35.61%
Risks
Critically low Piotroski F-Score (2/9) indicating deteriorating financial health
Negative net profit margin (-0.13%) and negative ROE (-0.18%)
Bearish technical trend (0/100) despite recent 1-year gains
SGML BEARISH

SGML exhibits critical financial instability, highlighted by a weak Piotroski F-Score of 2/9 and a severe liquidity crisis with a Current Ratio of 0.25. Despite a speculative surge in recent price performance, the company is facing a fundamental collapse with YoY revenue growth plummeting by 64.30% and consistent earnings misses. The extreme disconnect between the current price ($19.72) and the underlying financial health suggests a momentum-driven bubble rather than value creation. With a Price-to-Book ratio of 38.82 and negative ROE, the stock is fundamentally unsupported.

Strengths
Strong short-term price momentum (1Y Change +176.2%)
Positive forward P/E projection (17.73) suggesting expected future profitability
Market capitalization remains significant at $2.20B
Risks
Severe liquidity risk (Current Ratio 0.25, Quick Ratio 0.07)
Catastrophic revenue decline (-64.30% YoY)
Extreme overvaluation (P/B 38.82, P/S 19.97)

Compare Another Pair

KWR vs SGML: Head-to-Head Comparison

This page compares Quaker Chemical Corporation (KWR) and Sigma Lithium Corporation (SGML) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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