Comparing Waste Connections (NYSE:WCN) & PureCycle Technologies (NASDAQ:PCT)

PureCycle Technologies (NASDAQ:PCTGet Free Report) and Waste Connections (NYSE:WCNGet Free Report) are both business services companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, dividends, institutional ownership, analyst recommendations, risk, profitability and earnings.

Profitability

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

Net Margins Return on Equity Return on Assets
PureCycle Technologies -2,185.10% -204.74% -24.69%
Waste Connections 10.97% 16.49% 6.45%

Analyst Ratings

This is a breakdown of current ratings and price targets for PureCycle Technologies and Waste Connections, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
PureCycle Technologies 1 1 1 1 2.50
Waste Connections 0 4 14 4 3.00

PureCycle Technologies currently has a consensus target price of $13.00, indicating a potential upside of 78.82%. Waste Connections has a consensus target price of $203.15, indicating a potential upside of 22.52%. Given PureCycle Technologies’ higher possible upside, research analysts plainly believe PureCycle Technologies is more favorable than Waste Connections.

Insider & Institutional Ownership

63.0% of PureCycle Technologies shares are owned by institutional investors. Comparatively, 86.1% of Waste Connections shares are owned by institutional investors. 18.8% of PureCycle Technologies shares are owned by insiders. Comparatively, 0.3% of Waste Connections 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.

Volatility and Risk

PureCycle Technologies has a beta of 2.1, indicating that its share price is 110% more volatile than the S&P 500. Comparatively, Waste Connections has a beta of 0.61, indicating that its share price is 39% less volatile than the S&P 500.

Valuation & Earnings

This table compares PureCycle Technologies and Waste Connections”s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
PureCycle Technologies $8.35 million 157.35 -$182.57 million ($1.21) -6.01
Waste Connections $9.47 billion 4.47 $1.08 billion $4.17 39.76

Waste Connections has higher revenue and earnings than PureCycle Technologies. PureCycle Technologies is trading at a lower price-to-earnings ratio than Waste Connections, indicating that it is currently the more affordable of the two stocks.

Summary

Waste Connections beats PureCycle Technologies on 11 of the 15 factors compared between the two stocks.

About PureCycle Technologies

(Get Free Report)

PureCycle Technologies, Inc. engages in the production of recycled polypropylene (PP). The company holds a license for restoring waste PP into ultra-pure recycled polypropylene resin that has multiple applications, including packaging and labeling for consumer products, piping, ropes, cabling, and plastic parts for various industries. Its recycling process separates color, odor, and other contaminants from plastic waste feedstock to transform it into virgin-like resin. The company was founded in 2015 and is headquartered in Orlando, Florida.

About Waste Connections

(Get Free Report)

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.

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