Reviewing Civeo (NYSE:CVEO) and Casella Waste Systems (NASDAQ:CWST)

Civeo (NYSE:CVEO) and Casella Waste Systems (NASDAQ:CWST) are both industrials companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, valuation, earnings, profitability, analyst recommendations, risk and institutional ownership.

Insider and Institutional Ownership

81.4% of Civeo shares are held by institutional investors. Comparatively, 99.5% of Casella Waste Systems shares are held by institutional investors. 6.5% of Civeo shares are held by company insiders. Comparatively, 3.8% of Casella Waste Systems shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Civeo and Casella Waste Systems”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Civeo	$638.85 million	0.53	-$20.07 million	($1.17)	-28.12
Casella Waste Systems	$1.84 billion	2.90	$7.87 million	$0.09	931.44

Casella Waste Systems has higher revenue and earnings than Civeo. Civeo is trading at a lower price-to-earnings ratio than Casella Waste Systems, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Civeo has a beta of 0.71, meaning that its share price is 29% less volatile than the S&P 500. Comparatively, Casella Waste Systems has a beta of 0.74, meaning that its share price is 26% less volatile than the S&P 500.

Profitability

This table compares Civeo and Casella Waste Systems’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Civeo	-1.93%	-7.82%	-2.72%
Casella Waste Systems	0.29%	5.32%	2.49%

Analyst Recommendations

This is a summary of recent ratings and price targets for Civeo and Casella Waste Systems, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Civeo	1	1	1	1	2.50
Casella Waste Systems	1	2	6	1	2.70

Civeo currently has a consensus price target of $44.00, indicating a potential upside of 33.76%. Casella Waste Systems has a consensus price target of $112.86, indicating a potential upside of 34.63%. Given Casella Waste Systems’ stronger consensus rating and higher possible upside, analysts clearly believe Casella Waste Systems is more favorable than Civeo.

Summary

Casella Waste Systems beats Civeo on 13 of the 14 factors compared between the two stocks.

About Civeo

Civeo Corporation provides hospitality services to the natural resource industry in Canada, Australia, and the United States. The company develops lodges and villages; and mobile assets, including modular, skid-mounted accommodation, and central facilities that provide short to medium-term accommodation needs. It offers food, housekeeping, and maintenance services, as well as laundry, facility management and maintenance, water and wastewater treatment, power generation, communication systems, security, and logistics services, and camp management services. In addition, the company provides development activities for workforce accommodation facilities, including site selection, permitting, engineering and design, manufacturing management, and site construction services, as well as lodging and catering services. It serves oil, mining, engineering, and oilfield and mining service companies. Civeo Corporation was founded in 1977 and is headquartered in Houston, Texas.

About Casella Waste Systems

Casella Waste Systems, Inc., together with its subsidiaries, operates as a vertically integrated solid waste services company in the United States. It offers resource management services primarily in the areas of solid waste collection and disposal, transfer, recycling, and organics services to residential, commercial, municipal, institutional, and industrial customers. The company provides non-hazardous solid waste services, including collections, transfer stations, recycling, and disposal operations. In addition, it markets materials, including fibers, corrugated cardboard, newsprint, plastics, glass, ferrous, and aluminum metals. Casella Waste Systems, Inc. was founded in 1975 and is headquartered in Rutland, Vermont.