Analyzing Everus Construction Group (NYSE:ECG) and EMCOR Group (NYSE:EME)

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

Profitability

This table compares Everus Construction Group and EMCOR Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Everus Construction Group	6.20%	39.18%	13.88%
EMCOR Group	7.78%	36.65%	14.50%

Analyst Ratings

This is a summary of recent ratings for Everus Construction Group and EMCOR Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Everus Construction Group	0	4	4	1	2.67
EMCOR Group	0	2	7	0	2.78

Everus Construction Group presently has a consensus price target of $164.50, suggesting a potential upside of 122.02%. EMCOR Group has a consensus price target of $931.86, suggesting a potential upside of 53.15%. Given Everus Construction Group’s higher probable upside, equities research analysts clearly believe Everus Construction Group is more favorable than EMCOR Group.

Volatility and Risk

Everus Construction Group has a beta of 2.36, meaning that its stock price is 136% more volatile than the S&P 500. Comparatively, EMCOR Group has a beta of 1.16, meaning that its stock price is 16% more volatile than the S&P 500.

Institutional and Insider Ownership

92.6% of EMCOR Group shares are held by institutional investors. 0.3% of Everus Construction Group shares are held by insiders. Comparatively, 0.7% of EMCOR Group 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.

Valuation and Earnings

This table compares Everus Construction Group and EMCOR Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Everus Construction Group	$4.66 billion	0.81	$201.77 million	$5.65	13.11
EMCOR Group	$19.84 billion	1.34	$1.27 billion	$34.62	17.58

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

Summary

EMCOR Group beats Everus Construction Group on 11 of the 15 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 EMCOR Group

EMCOR Group, Inc. provides construction and facilities, building, and industrial services in the United States and the United Kingdom. It offers design, integration, installation, start-up, operation, and maintenance services related to power transmission, distribution, and generation systems; energy solutions; premises electrical and lighting systems; process instrumentation; low-voltage systems; voice and data communications systems; roadway and transit lighting, signaling, and fiber optic lines; computerized traffic control systems, and signal and communication equipment; heating, ventilation, air conditioning, refrigeration, and geothermal solutions; clean-room process ventilation systems; fire protection and suppression systems; plumbing, process, and high-purity piping systems; controls and filtration systems; water and wastewater treatment systems; central plant heating and cooling systems; crane and rigging services; millwright services; and steel fabrication, erection, and welding services. The company also provides building services that covers commercial and government site-based operations and maintenance; facility management, maintenance, and services; energy efficiency retrofit services; military base operations support services; services for indoor air quality; floor care and janitorial services; landscaping, lot sweeping, and snow removal services; vendor management and call center services; installation and support for building systems; program development, management, and maintenance for energy systems; technical consulting and diagnostic services; infrastructure and building projects; modification and retrofit projects; and other building services, including reception, security, and catering services. In addition, it offers refinery turnaround planning and engineering; welding; overhaul and maintenance; instrumentation and electrical; and renewable energy services. The company was incorporated in 1987 and is headquartered in Norwalk, Connecticut.