Critical Survey: TOMI Environmental Solutions (NASDAQ:TOMZ) vs. Sims Metal Management (OTCMKTS:SMSMY)

Sims Metal Management (OTCMKTS:SMSMY) and TOMI Environmental Solutions (NASDAQ:TOMZ) are both business services companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, profitability, valuation, dividends, institutional ownership and earnings.

Institutional & Insider Ownership

4.8% of TOMI Environmental Solutions shares are owned by institutional investors. 23.5% of TOMI Environmental Solutions shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Sims Metal Management and TOMI Environmental Solutions”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sims Metal Management	$4.85 billion	0.48	-$12.30 million	N/A	N/A
TOMI Environmental Solutions	$5.69 million	2.85	-$4.48 million	($0.25)	-3.20

TOMI Environmental Solutions has lower revenue, but higher earnings than Sims Metal Management.

Analyst Ratings

This is a summary of current recommendations for Sims Metal Management and TOMI Environmental Solutions, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sims Metal Management	1	0	0	0	1.00
TOMI Environmental Solutions	1	1	1	0	2.00

TOMI Environmental Solutions has a consensus target price of $3.50, suggesting a potential upside of 337.23%. Given TOMI Environmental Solutions’ stronger consensus rating and higher possible upside, analysts clearly believe TOMI Environmental Solutions is more favorable than Sims Metal Management.

Volatility & Risk

Sims Metal Management has a beta of 1.22, suggesting that its share price is 22% more volatile than the S&P 500. Comparatively, TOMI Environmental Solutions has a beta of 1.54, suggesting that its share price is 54% more volatile than the S&P 500.

Profitability

This table compares Sims Metal Management and TOMI Environmental Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sims Metal Management	N/A	N/A	N/A
TOMI Environmental Solutions	-91.40%	-91.39%	-32.35%

Summary

TOMI Environmental Solutions beats Sims Metal Management on 8 of the 12 factors compared between the two stocks.

About Sims Metal Management

Sims Limited engages in buying, processing, and selling ferrous and non-ferrous recycled metals in Australia, Bangladesh, China, Turkey, the United States, and internationally. The company operates through six segments: North America Metals, Investment in SA Recycling, Australia/New Zealand Metals, UK Metals, Global Trading, and Sims Lifecycle Services. It is involved in the collection, processing, and trading of iron and steel secondary raw materials; and other metal alloys and residues, principally aluminum, lead, copper, zinc, and nickel bearing materials. The company also engages in the provision of environmentally responsible solutions for the disposal of post-consumer electronic products, such as information technology assets recycled for commercial customers; and environmentally responsible recycling of negative value materials, including electronic equipment. In addition, it provides secondary processing and other services comprising recycling of municipal curbside materials, stevedoring, and other sources of service. The company was founded in 1917 and is headquartered in Mascot, Australia.

About TOMI Environmental Solutions

TOMI Environmental Solutions, Inc., a bacteria decontamination and infectious disease control company, engages in the provision of environmental solutions for indoor air and surface disinfection and decontamination in the United States and internationally. The company’s disinfection solutions include SteraPak portable disinfection systems, SteraMist select surface units, SteraMist environment systems, SteraMist total disinfection carts, SteraMist transport units, NV+ fogging disinfection and decontamination systems, SteraMist custom engineered systems, SteraMist Hybrid disinfection systems, SteraMist integrated systems, Stainless Steel 90-Degree applicators, SteraMist plasma decontamination chambers, and iHP Corporate Service Decontamination, which provides full room, equipment, facility, and emergency disinfection and decontamination services. It also manufactures, sells, services, and licenses SteraMist Binary Ionization Technology, a hydrogen peroxide-based mist and fog. The company’s products and services are used in hospitals and medical facilities, bio-safety labs, pharmaceutical facilities, meat and produce processing facilities, universities and research facilities, vivarium labs, and other service industries, including cruise ships, office buildings, hotel and motel rooms, schools, restaurants, military barracks, police and fire departments, prisons, and athletic facilities; and single-family homes and multi-unit residences. TOMI Environmental Solutions, Inc. was incorporated in 1979 and is headquartered in Frederick, Maryland.