Alto Ingredients, Inc. (ALTO) vs Gevo, Inc. (GEVO)

Alto Ingredients, Inc. and Gevo, Inc. are both Specialty Chemicals companies. Gevo, Inc. is the larger, with a market value of $348.6M against $290.1M — 1.2× the size. Gevo, Inc. has negative trailing earnings, so its P/E is not meaningful; Alto Ingredients, Inc. trades at 5.5×. Gevo, Inc. grew revenue faster over the last twelve months: 121.4% against 1.09%. Alto Ingredients, Inc. has the higher net margin (5.38% vs −119.9%) and the higher return on invested capital (7.62% vs −29.8%). Across the 18 metrics below, Alto Ingredients, Inc. leads on 15 and Gevo, Inc. on 3.

Valuation

Metric ALTO GEVO Specialty Chemicals median
P/E 5.49 n/m 24.83
P/S 0.30 1.90 1.46
P/B 1.08 1.23 1.76
Price to free cash flow 5.65 n/m 19.84
EV/EBITDA 5.27 n/m 13.18
EV/Sales 0.35 2.90 1.84
Earnings yield 18.23% (63.01%) 2.11%
Free cash flow yield 17.71% (16.83%) 2.29%

Profitability

Metric ALTO GEVO Specialty Chemicals median
Gross margin 6.84% 50.71% 29.23%
Operating margin 3.77% (102.80%) 3.63%
Net margin 5.38% (119.93%) 2.89%
Free cash flow margin 5.29% (31.91%) 3.78%
Return on equity 21.69% (56.98%) 3.62%
Return on assets 12.84% (35.69%) 0.35%
Return on invested capital 7.62% (29.79%) 2.75%

Growth

Metric ALTO GEVO Specialty Chemicals median
Revenue growth (TTM) 1.09% 121.37% 4.51%
EPS growth (last fiscal year) 119.51% 58.82% —
Revenue growth, 5-year CAGR 0.46% 96.11% 6.30%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ALTO GEVO Specialty Chemicals median
Debt to equity 0.23 0.61 0.54
Current ratio 3.19 2.70 1.94
Net debt to EBITDA 1.55 6.08 2.03

Dividend

Metric ALTO GEVO Specialty Chemicals median
Dividend yield — — 1.69%
Payout ratio 0.00 0.00 0.25

Size

Metric ALTO GEVO Specialty Chemicals median
Market cap 290.11m 348.60m 2.43b

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