Critical Survey: JBDI (NASDAQ:JBDI) versus Waste Connections (NYSE:WCN)

JBDI (NASDAQ:JBDI) and Waste Connections (NYSE:WCN) are both business services companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, risk, valuation, institutional ownership, earnings and profitability.

Analyst Recommendations

This is a breakdown of recent ratings for JBDI and Waste Connections, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
JBDI	1	0	0	0	1.00
Waste Connections	1	3	13	5	3.00

Waste Connections has a consensus price target of $210.63, suggesting a potential upside of 27.14%. Given Waste Connections’ stronger consensus rating and higher probable upside, analysts plainly believe Waste Connections is more favorable than JBDI.

Risk and Volatility

JBDI has a beta of -2, meaning that its stock price is 300% less volatile than the S&P 500. Comparatively, Waste Connections has a beta of 0.62, meaning that its stock price is 38% less volatile than the S&P 500.

Earnings and Valuation

This table compares JBDI and Waste Connections”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
JBDI	$8.45 million	2.92	-$2.72 million	N/A	N/A
Waste Connections	$9.35 billion	4.53	$617.57 million	$2.40	69.03

Waste Connections has higher revenue and earnings than JBDI.

Profitability

This table compares JBDI and Waste Connections’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
JBDI	N/A	N/A	N/A
Waste Connections	6.65%	16.07%	6.37%

Insider & Institutional Ownership

86.1% of Waste Connections shares are held by institutional investors. 0.3% of Waste Connections shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Waste Connections beats JBDI on 13 of the 13 factors compared between the two stocks.

About JBDI

JBDI Holdings Limited engages in the trading of reconditioned and recycling containers in Singapore and the Southeast Asia region. The company offers reconditioning and recycling drums, including open top drums, metal drums, plastic drums, plastic carboys, and intermediate bulk containers, as well as new drums, and collects waste drums and related products. It serves solvent, chemical, petroleum, and edible product oil industries. The company was founded in 1983 and is based in Singapore. JBDI Holdings Limited operates as a subsidiary of E U Holdings Pte. Ltd.

About Waste Connections

Waste Connections, Inc. provides non-hazardous waste collection, transfer, disposal, and resource recovery services in the United States and Canada. It offers collection services to residential, commercial, municipal, industrial, and exploration and production (E&P) customers; landfill disposal services; and recycling services for various recyclable materials, including compost, cardboard, mixed paper, plastic containers, glass bottles, and ferrous and aluminum metals. The company owns and operates transfer stations that receive compact and/or load waste to be transported to landfills or treatment facilities through truck, rail, or barge; and intermodal services for the rail haul movement of cargo and solid waste containers in the Pacific Northwest through a network of intermodal facilities. In addition, it provides E&P waste treatment, recovery, and disposal services for waste resulting from oil and natural gas exploration and production activity, such as drilling fluids, drill cuttings, completion fluids, and flowback water; production wastes and produced water during a well's operating life; contaminated soils that require treatment during site reclamation; and substances, which require clean-up after a spill, reserve pit clean-up, or pipeline rupture. Further, the company offers leasing services to its customers. Waste Connections, Inc. was founded in 1997 and is based in Woodbridge, Canada.