Arq Inc (ARQ)vsEnergy Recovery Inc (ERII)
ARQ
Arq Inc
$2.33
+2.64%
INDUSTRIALS · Cap: $85.27M
ERII
Energy Recovery Inc
$10.17
+0.49%
INDUSTRIALS · Cap: $501.12M
Smart Verdict
WallStSmart Research — data-driven comparison
Energy Recovery Inc generates 12% more annual revenue ($134.99M vs $120.34M). ERII leads profitability with a 17.0% profit margin vs -43.7%. ERII appears more attractively valued with a PEG of 3.33. ERII earns a higher WallStSmart Score of 59/100 (C).
ARQ
Hold40
out of 100
Grade: F
ERII
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ARQ.
Margin of Safety
+5.6%
Fair Value
$16.36
Current Price
$10.17
$6.19 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Strong operational efficiency at 46.5%
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Earnings expanding 20.1% YoY
Areas to Watch
0.0% earnings growth
Smaller company, higher risk/reward
Weak financial health signals
Expensive relative to growth rate
Smaller company, higher risk/reward
Weak financial health signals
Expensive relative to growth rate
Revenue declined 0.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : ARQ
The strongest argument for ARQ centers on Price/Book, Debt/Equity.
Bull Case : ERII
The strongest argument for ERII centers on Operating Margin, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 17.0% and operating margin at 46.5%.
Bear Case : ARQ
The primary concerns for ARQ are EPS Growth, Market Cap, Piotroski F-Score.
Bear Case : ERII
The primary concerns for ERII are Market Cap, Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
ARQ profiles as a turnaround stock while ERII is a declining play — different risk/reward profiles.
ARQ carries more volatility with a beta of 3.38 — expect wider price swings.
ARQ is growing revenue faster at 8.8% — sustainability is the question.
ERII generates stronger free cash flow (6M), providing more financial flexibility.
Bottom Line
ERII scores higher overall (59/100 vs 40/100), backed by strong 17.0% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Arq Inc
INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA
Arq, Inc. produces activated carbon products in North America. The company is headquartered in Greenwood Village, Colorado.
Visit Website →Energy Recovery Inc
INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA
Energy Recovery, Inc. designs, manufactures and sells various solutions for the industrial fluid flow markets worldwide. The company is headquartered in San Leandro, California.
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