Head to Head Analysis: Interface (NASDAQ:TILE) and 374Water (NASDAQ:SCWO)

374Water (NASDAQ:SCWO) and Interface (NASDAQ:TILE) are both industrials companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, dividends, institutional ownership, profitability, analyst recommendations, earnings and risk.

Analyst Recommendations

This is a summary of current recommendations and price targets for 374Water and Interface, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
374Water	1	0	0	0	1.00
Interface	0	1	3	0	2.75

Interface has a consensus price target of $40.50, indicating a potential upside of 11.04%. Given Interface’s stronger consensus rating and higher probable upside, analysts plainly believe Interface is more favorable than 374Water.

Profitability

This table compares 374Water and Interface’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
374Water	N/A	-401.97%	-170.75%
Interface	10.10%	21.77%	11.18%

Volatility & Risk

374Water has a beta of -0.24, indicating that its stock price is 124% less volatile than the S&P 500. Comparatively, Interface has a beta of 1.99, indicating that its stock price is 99% more volatile than the S&P 500.

Insider and Institutional Ownership

12.2% of 374Water shares are owned by institutional investors. Comparatively, 98.3% of Interface shares are owned by institutional investors. 18.5% of 374Water shares are owned by insiders. Comparatively, 2.5% of Interface shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares 374Water and Interface”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
374Water	$220,000.00	191.30	-$20.98 million	($0.71)	-3.35
Interface	$1.39 billion	1.53	$116.10 million	$2.47	14.77

Interface has higher revenue and earnings than 374Water. 374Water is trading at a lower price-to-earnings ratio than Interface, indicating that it is currently the more affordable of the two stocks.

Summary

Interface beats 374Water on 12 of the 14 factors compared between the two stocks.

About 374Water

374Water Inc. provides a technology that transforms wet wastes into recoverable resources in the United States. The company transforms wet wastes, including sewage sludge, biosolids, food waste, hazardous and non-hazardous waste, and forever chemicals. It offers AirSCWO systems, a waste stream treatment system based on supercritical water oxidation that are used to treat various hazardous and non-hazardous waste streams. It serves Industrial, agricultural, defense, oil and gas, waste management, sanitation project, environmental remediation and compliance, and municipal markets. 374Water Inc. is based in Durham, North Carolina.

About Interface

Interface, Inc. designs, produces, and sells modular carpet products primarily worldwide. The company operates in two segments, Americas (AMS), and Europe, Africa, Asia and Australia (EAAA). The company offers modular carpets under the Interface and FLOR brand names; luxury vinyl tiles; carpet tiles under the CQuestGB name for use in commercial interiors, include offices, healthcare facilities, airports, educational and other institutions, hospitality spaces, and retail facilities, as well as residential interiors; and modular resilient flooring products. It also provides carpet replacement, installation, and maintenance services; and rubber flooring under the norament and noraplan brand names; as well as produces and sells an adapted version of its carpet tile for the healthcare facilities market. In addition, the company sells a proprietary antimicrobial chemical compound under the Intersept name; sells TacTiles, a carpet tile installation system, as well as various adhesives and products; and provides turnkey project management services for global accounts and other customers through its InterfaceSERVICES business. The company sells its products directly to end-users, as well as indirectly through independent contractors, installers, or distributors. Interface, Inc. was incorporated in 1973 and is headquartered in Atlanta, Georgia.