Worthington Steel (NYSE:WS) and China Gerui Advanced Materials Group (OTCMKTS:CHOPF) Financial Review

China Gerui Advanced Materials Group (OTCMKTS:CHOPF) and Worthington Steel (NYSE:WS) are both basic materials companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.

Profitability

This table compares China Gerui Advanced Materials Group and Worthington Steel’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
China Gerui Advanced Materials Group	N/A	N/A	N/A
Worthington Steel	3.71%	12.14%	7.34%

Institutional and Insider Ownership

45.4% of Worthington Steel shares are held by institutional investors. 2.2% of Worthington Steel shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares China Gerui Advanced Materials Group and Worthington Steel”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
China Gerui Advanced Materials Group	N/A	N/A	N/A	N/A	N/A
Worthington Steel	$3.43 billion	0.64	$154.70 million	$2.48	17.43

Worthington Steel has higher revenue and earnings than China Gerui Advanced Materials Group.

Analyst Recommendations

This is a summary of recent recommendations and price targets for China Gerui Advanced Materials Group and Worthington Steel, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
China Gerui Advanced Materials Group	0	0	0	0	0.00
Worthington Steel	0	1	1	0	2.50

Worthington Steel has a consensus price target of $40.00, suggesting a potential downside of 7.45%. Given China Gerui Advanced Materials Group’s higher probable upside, equities analysts clearly believe China Gerui Advanced Materials Group is more favorable than Worthington Steel.

Summary

Worthington Steel beats China Gerui Advanced Materials Group on 8 of the 9 factors compared between the two stocks.

About China Gerui Advanced Materials Group

China Gerui Advanced Materials Group Ltd. is a holding company which engages in the steel processing business. It process ultra-thin, cold-rolled steel for narrow strip steel products. The company sells its products to domestic Chinese customers in a diverse range of industries, including the food packaging, electrical appliances and the construction materials industries. China Gerui Advanced Materials Group was founded in 2000 and is headquartered in Zhengzhou, China.

About Worthington Steel

Worthington Steel, Inc. operates as a steel processor in North America. It offers carbon flat-rolled steel and tailor welded blanks, as well as electrical steel laminations; and aluminum tailor welded blanks. The company serves various end-markets, including automotive, heavy truck, agriculture, construction, and energy. Worthington Steel, Inc. was incorporated in 2023 and is based in Columbus, Ohio.