CECO Environmental Corp. (CECO)vsEnergy Recovery Inc (ERII)
CECO
CECO Environmental Corp.
$78.34
+3.91%
INDUSTRIALS · Cap: $4.42B
ERII
Energy Recovery Inc
$7.55
+3.85%
INDUSTRIALS · Cap: $394.58M
Smart Verdict
WallStSmart Research — data-driven comparison
CECO Environmental Corp. generates 649% more annual revenue ($903.17M vs $120.57M). ERII leads profitability with a 12.7% profit margin vs -3.4%. CECO appears more attractively valued with a PEG of 1.44. ERII earns a higher WallStSmart Score of 45/100 (D+).
CECO
Hold44
out of 100
Grade: D
ERII
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CECO.
Margin of Safety
-10.1%
Fair Value
$14.03
Current Price
$7.55
$6.48 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 53.7% year-over-year
Reasonable price relative to book value
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Earnings expanding 20.1% YoY
Areas to Watch
Grey zone — moderate risk
ROE of 5.5% — below average capital efficiency
Operating margin of 4.9%
Earnings declined 41.5%
Moderate valuation
Smaller company, higher risk/reward
Expensive relative to growth rate
Revenue declined 57.2%
Comparative Analysis Report
WallStSmart ResearchBull Case : CECO
The strongest argument for CECO centers on Revenue Growth, Price/Book. Revenue growth of 53.7% demonstrates continued momentum. PEG of 1.44 suggests the stock is reasonably priced for its growth.
Bull Case : ERII
The strongest argument for ERII centers on Debt/Equity, Altman Z-Score, Price/Book.
Bear Case : CECO
The primary concerns for CECO are Altman Z-Score, Return on Equity, Operating Margin.
Bear Case : ERII
The primary concerns for ERII are P/E Ratio, Market Cap, PEG Ratio.
Key Dynamics to Monitor
CECO profiles as a hypergrowth stock while ERII is a declining play — different risk/reward profiles.
CECO carries more volatility with a beta of 1.51 — expect wider price swings.
CECO is growing revenue faster at 53.7% — sustainability is the question.
ERII generates stronger free cash flow (15M), providing more financial flexibility.
Bottom Line
ERII scores higher overall (45/100 vs 44/100). Both earn "Hold" 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.
CECO Environmental Corp.
INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA
CECO Environmental Corporation. The company is headquartered in Dallas, Texas.
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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