Critical Review: GFL Environmental (NYSE:GFL) & Strategic Environmental & Energy Resources (OTCMKTS:SENR)

GFL Environmental (NYSE:GFL) and Strategic Environmental & Energy Resources (OTCMKTS:SENR) are both business services companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, risk, earnings, profitability, valuation, dividends and institutional ownership.

Earnings & Valuation

This table compares GFL Environmental and Strategic Environmental & Energy Resources”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GFL Environmental	$4.73 billion	2.97	$2.74 billion	$6.80	5.79
Strategic Environmental & Energy Resources	$4.31 million	0.51	-$1.80 million	($0.03)	-1.10

GFL Environmental has higher revenue and earnings than Strategic Environmental & Energy Resources. Strategic Environmental & Energy Resources is trading at a lower price-to-earnings ratio than GFL Environmental, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares GFL Environmental and Strategic Environmental & Energy Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GFL Environmental	56.61%	3.66%	1.50%
Strategic Environmental & Energy Resources	-37.60%	N/A	-139.50%

Institutional and Insider Ownership

64.7% of GFL Environmental shares are held by institutional investors. 8.7% of GFL Environmental shares are held by company insiders. Comparatively, 43.9% of Strategic Environmental & Energy Resources shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and target prices for GFL Environmental and Strategic Environmental & Energy Resources, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GFL Environmental	1	2	11	1	2.80
Strategic Environmental & Energy Resources	0	0	0	0	0.00

GFL Environmental presently has a consensus price target of $55.44, indicating a potential upside of 40.90%. Given GFL Environmental’s stronger consensus rating and higher probable upside, equities analysts plainly believe GFL Environmental is more favorable than Strategic Environmental & Energy Resources.

Risk & Volatility

GFL Environmental has a beta of 0.84, indicating that its stock price is 16% less volatile than the S&P 500. Comparatively, Strategic Environmental & Energy Resources has a beta of -1.88, indicating that its stock price is 288% less volatile than the S&P 500.

Summary

GFL Environmental beats Strategic Environmental & Energy Resources on 14 of the 15 factors compared between the two stocks.

About GFL Environmental

GFL Environmental Inc. offers non-hazardous solid waste management and environmental services in Canada and the United States. It offers solid waste management, liquid waste management, and soil remediation services, including collection, transportation, transfer, recycling, and disposal services for municipal, residential, and commercial, and industrial customers. The company was incorporated in 2007 and is headquartered in Vaughan, Canada.

About Strategic Environmental & Energy Resources

Strategic Environmental & Energy Resources, Inc. provides clean-technologies, waste management, and related services in the United States and internationally. It operates through two segments, Environmental Solutions and Solid Waste. The company designs and sells H2SPlus and OdorFilter dry scrubber solutions for management of hydrogen sulfide in biogas, landfill gas, and petroleum processing operations; develops and designs proprietary technologies and systems for conditioning biogas for use as renewable natural gas for a range of applications, such as transportation fuel and natural gas pipeline injection; and develops waste destruction technology using pyrolytic heating process combined with non-thermal plasma assisted oxidation. In addition, it develops renewable natural gas projects; and advanced chemical absorbents and catalysts that enhance the capability of biogas produced from landfill, wastewater treatment, and agricultural digester operations, as well as offers soil amendment pellets. The company serves companies primarily in the oil and gas refineries, landfills, medical waste destruction operations, agricultural companies, and food and beverage companies, as well as other commercial and industrial customers. Strategic Environmental & Energy Resources, Inc. is headquartered in Broomfield, Colorado.