Contrasting VIPR (OTCMKTS:VIPV) & Pure Cycle (NASDAQ:PCYO)

Pure Cycle (NASDAQ:PCYO) and VIPR (OTCMKTS:VIPV) are both utilities companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, valuation, profitability, analyst recommendations, earnings, institutional ownership and dividends.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Pure Cycle and VIPR, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pure Cycle	0	1	0	0	2.00
VIPR	0	0	0	0	0.00

Given VIPR’s higher probable upside, analysts clearly believe VIPR is more favorable than Pure Cycle.

Valuation and Earnings

This table compares Pure Cycle and VIPR”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pure Cycle	$26.09 million	10.46	$13.11 million	$0.61	18.56
VIPR	N/A	N/A	N/A	($3.49)	N/A

Pure Cycle has higher revenue and earnings than VIPR. VIPR is trading at a lower price-to-earnings ratio than Pure Cycle, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

51.4% of Pure Cycle shares are owned by institutional investors. 6.1% of Pure Cycle shares are owned by insiders. Comparatively, 12.7% of VIPR shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Pure Cycle and VIPR’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pure Cycle	43.66%	9.98%	8.75%
VIPR	N/A	N/A	N/A

Summary

Pure Cycle beats VIPR on 8 of the 10 factors compared between the two stocks.

About Pure Cycle

Pure Cycle Corporation designs, constructs, operates, and maintains water and wastewater systems in the Denver metropolitan area and Colorado Front Range in the United States. It operates in two segments, Wholesale Water and Wastewater Services, and Land Development. The company engages in the wholesale water production, storage, treatment, and distribution systems; wastewater collection and treatment systems; development of 930-acre master-planned community; oil and gas leasing business; and construction and leasing of single-family homes. It serves domestic, commercial, and industrial customers in the Eastern Denver metropolitan region. Pure Cycle Corporation was incorporated in 1976 and is based in Watkins, Colorado.

About VIPR

VIPR Corp. focuses on the acquisition, development, and marketing of strategic nutraceutical and nutraceutical related products for personal consumption, apparel, and home applications. VIPR Corp. was formerly known as S2C Global Systems Inc. and changed its name to VIPR Corp. in August 2014. The company is based in Scottsdale, Arizona.