Comparing Environmental Tectonics (OTCMKTS:ETCC) & Astrotech (NASDAQ:ASTC)

Environmental Tectonics (OTCMKTS:ETCC) and Astrotech (NASDAQ:ASTC) are both small-cap aerospace companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, profitability, risk, earnings, analyst recommendations, institutional ownership and valuation.

Earnings and Valuation

This table compares Environmental Tectonics and Astrotech”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Environmental Tectonics	$62.94 million	0.18	$13.06 million	$0.75	1.53
Astrotech	$1.05 million	8.30	-$13.85 million	($8.39)	-0.59

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

Risk & Volatility

Environmental Tectonics has a beta of 0.23, meaning that its share price is 77% less volatile than the S&P 500. Comparatively, Astrotech has a beta of 0.26, meaning that its share price is 74% less volatile than the S&P 500.

Profitability

This table compares Environmental Tectonics and Astrotech’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Environmental Tectonics	19.38%	-257.02%	13.90%
Astrotech	-1,320.31%	-51.77%	-46.19%

Insider & Institutional Ownership

24.4% of Astrotech shares are owned by institutional investors. 74.8% of Environmental Tectonics shares are owned by company insiders. Comparatively, 14.9% of Astrotech shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Environmental Tectonics and Astrotech, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Environmental Tectonics	0	0	0	0	0.00
Astrotech	1	0	0	0	1.00

Summary

Environmental Tectonics beats Astrotech on 7 of the 12 factors compared between the two stocks.

About Environmental Tectonics

Environmental Tectonics Corporation, together with its subsidiaries, operates as an engineered solutions company in the United States and internationally. It operates in two segments, Aerospace Solutions (Aerospace) and Commercial/Industrial Systems (CIS). The Aerospace segment engages in the design, manufacture, and sale of aircrew training systems to commercial, governmental, and military defense agencies; training devices, including altitude and multiplace chambers to governmental and military defense agencies, and civil aviation organizations; and advanced disaster management simulators to governmental organizations, original equipment manufacturers, fire and emergency training schools, universities, and airports, as well as provides integrated logistics support services. The CIS segment is involved in the design, manufacture, and sale of steam and gas sterilizers to medical device and pharmaceutical manufacturers, as well as universities; and environmental testing and simulation systems primarily to commercial automotive, as well as to heating, ventilation, and air conditioning manufacturers. This segment also provides parts, as well as upgrade, maintenance, and repair services. The company markets its products through independent sales representatives and distributors. Environmental Tectonics Corporation was incorporated in 1969 and is headquartered in Southampton, Pennsylvania.

About Astrotech

Astrotech Corporation operates as a mass spectrometry company worldwide. It owns and licenses the intellectual property related to the Astrotech Mass Spectrometer Technology, a platform mass spectrometry technology. The company also develops TRACER 1000, a mass spectrometer-based explosive trace detector to replace the explosives trace detectors used at airports, cargo and other secured facilities, and borders. In addition, it develops AgLAB-1000, a mass spectrometer for use in the hemp and cannabis market. Further, the company develops BreathTest-1000, a breath analysis tool to screen for volatile organic compound metabolites found in a person's breath. The company was formerly known as SPACEHAB, Inc. and changed its name to Astrotech Corporation in 2009. The company was incorporated in 1984 and is based in Austin, Texas.