Critical Survey: Everus Construction Group (NYSE:ECG) & Energy Services of America (NASDAQ:ESOA)

Everus Construction Group (NYSE:ECG) and Energy Services of America (NASDAQ:ESOA) are both industrials companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, dividends, profitability, valuation, earnings, risk and institutional ownership.

Earnings and Valuation

This table compares Everus Construction Group and Energy Services of America”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Everus Construction Group	$4.27 billion	1.64	$201.77 million	$4.97	27.49
Energy Services of America	$467.37 million	N/A	N/A	$0.18	70.44

Everus Construction Group has higher revenue and earnings than Energy Services of America. Everus Construction Group is trading at a lower price-to-earnings ratio than Energy Services of America, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Everus Construction Group and Energy Services of America, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Everus Construction Group	0	5	3	1	2.56
Energy Services of America	0	1	1	0	2.50

Everus Construction Group currently has a consensus target price of $158.50, indicating a potential upside of 16.01%. Energy Services of America has a consensus target price of $25.00, indicating a potential upside of 93.95%. Given Energy Services of America’s higher possible upside, analysts clearly believe Energy Services of America is more favorable than Everus Construction Group.

Insider and Institutional Ownership

2.1% of Energy Services of America shares are held by institutional investors. 0.3% of Everus Construction Group shares are held by company insiders. Comparatively, 44.7% of Energy Services of America shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Everus Construction Group and Energy Services of America’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Everus Construction Group	5.96%	38.22%	14.02%
Energy Services of America	N/A	N/A	N/A

Summary

Everus Construction Group beats Energy Services of America on 8 of the 12 factors compared between the two stocks.

About Everus Construction Group

Everus Construction Group is providing a full spectrum of construction services through its electrical and mechanical and transmission and distribution specialty contracting services principally in United States. Its specialty contracting services are provided to utility, transportation, commercial, industrial, institutional, renewable and other customers. Everus Construction Group is based in BISMARCK, N.D.

About Energy Services of America

Energy Services of America Corporation, together with its subsidiaries, provides contracting services for utilities and energy related companies in the United States. The company constructs, replaces, and repairs interstate and intrastate natural gas pipelines and storage facilities for utility companies and private natural gas companies; and provides services relating to pipeline, storage facilities, and plant works. It also offers electrical and mechanical installation, and repair services, including substation and switchyard, site preparation, equipment setting, pipe fabrication and installation, packaged buildings, transformers, and other ancillary works for the gas, petroleum power, chemical, water and sewer, and automotive industries. In addition, the company provides corrosion protection services, horizontal drilling services, liquid pipeline and pump station construction, production facility construction, water and sewer pipeline installation, and various maintenance and repair services, as well as other services related to pipeline construction. Further, it serves customers primarily in West Virginia, Virginia, Ohio, Pennsylvania, and Kentucky. Energy Services of America Corporation was incorporated in 2006 and is based in Huntington, West Virginia.