Financial Survey: Montrose Environmental Group (NYSE:MEG) versus ESGL (NASDAQ:ESGL)

ESGL (NASDAQ:ESGL) and Montrose Environmental Group (NYSE:MEG) are both business services companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, dividends, profitability, analyst recommendations, earnings and valuation.

Earnings & Valuation

This table compares ESGL and Montrose Environmental Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ESGL	$6.10 million	N/A	-$630,000.00	N/A	N/A
Montrose Environmental Group	$696.40 million	1.29	-$62.31 million	($0.91)	-27.87

ESGL has higher earnings, but lower revenue than Montrose Environmental Group.

Profitability

This table compares ESGL and Montrose Environmental Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ESGL	N/A	N/A	N/A
Montrose Environmental Group	-2.52%	0.17%	0.08%

Institutional & Insider Ownership

87.9% of Montrose Environmental Group shares are owned by institutional investors. 22.4% of ESGL shares are owned by insiders. Comparatively, 11.2% of Montrose Environmental Group shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility & Risk

ESGL has a beta of 1.45, suggesting that its stock price is 45% more volatile than the S&P 500. Comparatively, Montrose Environmental Group has a beta of 1.97, suggesting that its stock price is 97% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings for ESGL and Montrose Environmental Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ESGL	1	0	0	0	1.00
Montrose Environmental Group	1	2	3	0	2.33

Montrose Environmental Group has a consensus price target of $33.50, indicating a potential upside of 32.10%. Given Montrose Environmental Group’s stronger consensus rating and higher possible upside, analysts plainly believe Montrose Environmental Group is more favorable than ESGL.

Summary

Montrose Environmental Group beats ESGL on 8 of the 11 factors compared between the two stocks.

About ESGL

ESGL Holdings Limited provides waste solutions. It regenerates industrial waste into circular products using technologies and renewable energy. The company was founded in 1999 and is based in Singapore.

About Montrose Environmental Group

Montrose Environmental Group, Inc. operates as an environmental services company in the United States, Canada, and internationally. The company operates in three segments: Assessment, Permitting and Response; Measurement and Analysis; and Remediation and Reuse. The Assessment, Permitting and Response segment provides scientific advisory and consulting services to support environmental assessments; environmental emergency response and recovery; toxicology consulting and environmental audits and permits for current operations; facility upgrades; new projects; decommissioning projects; and development projects. This segment also offers technical advisory and consulting services, including regulatory compliance support and planning, environmental, ecosystem and toxicological assessments, and support during responses to environmental disruptions. The Measurement and Analysis segment tests and analyzes air, water, and soil to determine concentrations of contaminants, as well as the toxicological impact of contaminants on flora, fauna, and human health. Its services include source and ambient air testing and monitoring, leak detection, and advanced analytical laboratory services, such as storm water, wastewater, and drinking water analysis. The Remediation and Reuse segment provides engineering, design, implementation, and operations and maintenance services primarily to treat contaminated water, remove contaminants from soil, or create biogas from waste. The company serves financial, oil and gas, utilities, construction, automotive, real-estate, midstream energy, manufacturing, commodities, petrochemical, food and beverage, telecommunications, and engineering industries, as well as local, state, provincial, and federal government entities. Montrose Environmental Group, Inc. was founded in 2012 and is headquartered in North Little Rock, Arkansas.