Head to Head Analysis: Hudson Technologies (NASDAQ:HDSN) and DMC Global (NASDAQ:BOOM)

Hudson Technologies (NASDAQ:HDSN) and DMC Global (NASDAQ:BOOM) are both small-cap industrials companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, valuation, profitability, earnings, dividends, analyst recommendations and institutional ownership.

Analyst Ratings

This is a breakdown of current recommendations for Hudson Technologies and DMC Global, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hudson Technologies	0	3	2	0	2.40
DMC Global	0	1	1	0	2.50

Hudson Technologies presently has a consensus target price of $7.69, indicating a potential downside of 6.93%. DMC Global has a consensus target price of $16.25, indicating a potential upside of 89.84%. Given DMC Global’s stronger consensus rating and higher probable upside, analysts clearly believe DMC Global is more favorable than Hudson Technologies.

Risk & Volatility

Hudson Technologies has a beta of 0.94, suggesting that its stock price is 6% less volatile than the S&P 500. Comparatively, DMC Global has a beta of 1.48, suggesting that its stock price is 48% more volatile than the S&P 500.

Insider & Institutional Ownership

71.3% of Hudson Technologies shares are held by institutional investors. Comparatively, 77.6% of DMC Global shares are held by institutional investors. 8.2% of Hudson Technologies shares are held by insiders. Comparatively, 2.8% of DMC Global shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Hudson Technologies and DMC Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hudson Technologies	7.74%	7.07%	5.76%
DMC Global	-15.73%	-0.01%	N/A

Valuation & Earnings

This table compares Hudson Technologies and DMC Global”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hudson Technologies	$237.12 million	1.51	$24.39 million	$0.37	22.32
DMC Global	$642.85 million	0.27	-$94.45 million	($8.16)	-1.05

Hudson Technologies has higher earnings, but lower revenue than DMC Global. DMC Global is trading at a lower price-to-earnings ratio than Hudson Technologies, indicating that it is currently the more affordable of the two stocks.

Summary

Hudson Technologies beats DMC Global on 9 of the 14 factors compared between the two stocks.

About Hudson Technologies

Hudson Technologies, Inc., through its subsidiary, Hudson Technologies Company, engages in the provision of solutions to recurring problems within the refrigeration industry in the United States. The company engages in the sale of refrigerant and industrial gas; provision of refrigerant management services consisting primarily of reclamation of refrigerants, re-usable cylinder refurbishment, and hydrostatic testing services; and RefrigerantSide services comprising system decontamination and recovery to remove moisture, oils, and other contaminants. It also offers Chiller Chemistry, which integrates several fluid tests of an operating system and the corresponding laboratory results into an engineering report; Fluid Chemistry, an abbreviated version of Chiller Chemistry, which is designed to quickly identify systems that require further examination; SmartEnergy OPS, a web-based real time continuous monitoring system, for measuring, modifying and improving the efficiency of energy systems, including air conditioning and refrigeration systems, in industrial and commercial applications; and ChillSmart, which combines the system optimization with Chiller Chemistry for providing a snapshot of a packaged chiller's operating efficiency and health. In addition, the company participates in the generation of carbon offset projects. It serves commercial, industrial, and governmental customers, as well as refrigerant wholesalers, distributors, contractors, and refrigeration equipment manufacturers. The company was incorporated in 1991 and is headquartered in Woodcliff Lake, New Jersey.

About DMC Global

DMC Global Inc. provides a suite of engineered products and various solutions for the construction, energy, industrial processing, and transportation markets worldwide. The company operates through three segments: Arcadia, DynaEnergetics, and NobelClad. The Arcadia segment manufactures, assembles, and sells architectural building products, including exterior and interior framing systems, curtain walls, windows, doors, and interior partitions; architectural components, architectural framing systems, entrance systems, and sun control products; sliding and glazing systems; and thermally broken steel, aluminum windows and doors, and wood doors and windows. It sells its products through a national in-house sales force for buildings, such as office towers, airports, hotels, education and athletic facilities, health care locations, government buildings, retail centers, mixed use, and multi-family residential buildings. The DynaEnergetics segment designs, manufactures, markets, and sells perforating systems, including initiation systems, shaped charges, detonating cords, gun hardware, and control panels; and perforating systems and associated hardware for the oil and gas industry. It sells its products through direct selling, distributors, and independent sales representatives. The NobelClad segment produces and sells explosion-welded clad metal plates for use in the construction of heavy, corrosion resistant pressure vessels, and heat exchangers for oil and gas, chemical and petrochemical, alternative energy, hydrometallurgy, aluminum production, shipbuilding, rail car manufacturing, power generation, and industrial refrigeration industries. It sells its products through direct sales personnel, program managers, and independent sales representatives. The company was formerly known as Dynamic Materials Corporation and changed its name to DMC Global Inc. in November 2016. DMC Global Inc. was founded in 1965 and is headquartered in Broomfield, Colorado.