CECO Environmental (CECO) & Its Competitors Financial Analysis

CECO Environmental (NASDAQ:CECO) is one of 435 public companies in the “Machinery” industry, but how does it weigh in compared to its competitors? We will compare CECO Environmental to related businesses based on the strength of its risk, institutional ownership, profitability, dividends, analyst recommendations, valuation and earnings.

Analyst Ratings

This is a breakdown of recent ratings and target prices for CECO Environmental and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CECO Environmental	1	1	8	0	2.70
CECO Environmental Competitors	4072	14459	17873	778	2.41

CECO Environmental currently has a consensus target price of $104.88, indicating a potential upside of 49.25%. As a group, “Machinery” companies have a potential upside of 28.07%. Given CECO Environmental’s stronger consensus rating and higher possible upside, analysts plainly believe CECO Environmental is more favorable than its competitors.

Profitability

This table compares CECO Environmental and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CECO Environmental	-3.39%	7.36%	3.41%
CECO Environmental Competitors	-1,947.44%	-10.16%	0.87%

Risk and Volatility

CECO Environmental has a beta of 1.51, meaning that its stock price is 51% more volatile than the S&P 500. Comparatively, CECO Environmental’s competitors have a beta of 4.52, meaning that their average stock price is 352% more volatile than the S&P 500.

Institutional & Insider Ownership

68.1% of CECO Environmental shares are held by institutional investors. Comparatively, 52.2% of shares of all “Machinery” companies are held by institutional investors. 16.9% of CECO Environmental shares are held by company insiders. Comparatively, 14.1% of shares of all “Machinery” companies are held by company 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.

Earnings and Valuation

This table compares CECO Environmental and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
CECO Environmental	$774.38 million	$50.05 million	-101.84
CECO Environmental Competitors	$4.50 billion	$347.98 million	-13.04

CECO Environmental’s competitors have higher revenue and earnings than CECO Environmental. CECO Environmental is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

CECO Environmental beats its competitors on 8 of the 13 factors compared.

About CECO Environmental

CECO Environmental Corp. provides critical solutions in industrial air quality, industrial water treatment, and energy transition solutions worldwide. It operates in two segments: Engineered Systems and Industrial Process Solutions. The company engineers, designs, manufactures, and installs non-metallic expansion joints and flow control products, including rubber expansion joints, ducting expansion joints, and industrial pinch and duck bill valves; membrane-based industrial water and wastewater treatment systems; and provides dust and fume extraction solutions comprising consultation, design, manufacturing, installation, and service, as well as water and wastewater treatment solutions. It offers engineered and configured products and solutions, including dampers and diverters, expansion joints, selective catalytic reduction systems, severe-service and industrial cyclones, dust collectors, thermal oxidizers, filtration systems, wet and dry scrubbers, separators and coalescers, water treatment packages, metallic and non-metallic pumps, industrial silencers, and fluid handling equipment, as well as plant engineering services and engineered design build fabrication services. In addition, the company offers industrial engineered noise control solutions, including custom acoustical gen-set packages, ambient air baffles, acoustical louvres, and skid enclosures; process filtration solutions for hydrocarbon and chemical processing; and energy and water conservation systems and equipment. The company markets its products and services to natural gas processors, transmission and distribution companies, refineries, power generators, industrial manufacturing, engineering and construction companies, semiconductor manufacturers, compressor manufacturers, beverage can manufacturers, metals and minerals, and electric vehicle producers. CECO Environmental Corp. was founded in 1869 and is headquartered in Dallas, Texas.