Analyzing Montrose Environmental Group (NYSE:MEG) and Monarch America (OTCMKTS:BTFL)

Monarch America (OTCMKTS:BTFL) and Montrose Environmental Group (NYSE:MEG) are both business services companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, institutional ownership, earnings, dividends, analyst recommendations, valuation and profitability.

Profitability

This table compares Monarch America and Montrose Environmental Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Monarch America	N/A	N/A	N/A
Montrose Environmental Group	-5.28%	1.86%	0.78%

Analyst Ratings

This is a summary of current ratings and price targets for Monarch America and Montrose Environmental Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Monarch America	0	0	0	0	0.00
Montrose Environmental Group	0	2	3	0	2.60

Montrose Environmental Group has a consensus price target of $35.60, indicating a potential upside of 109.04%. Given Montrose Environmental Group’s stronger consensus rating and higher probable upside, analysts plainly believe Montrose Environmental Group is more favorable than Monarch America.

Insider and Institutional Ownership

87.9% of Montrose Environmental Group shares are held by institutional investors. 11.9% of Montrose Environmental Group shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Monarch America and Montrose Environmental Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Monarch America	N/A	N/A	N/A	N/A	N/A
Montrose Environmental Group	$624.21 million	0.94	-$30.86 million	($1.49)	-11.43

Monarch America has higher earnings, but lower revenue than Montrose Environmental Group.

Summary

Montrose Environmental Group beats Monarch America on 8 of the 9 factors compared between the two stocks.

About Monarch America

Monarch America, Inc., through its The Big Tomato, Inc. subsidiary, sells and distributes hydroponic lights and equipment to the indoor gardeners and commercial growers in Denver, Colorado and the surrounding communities. It offers grow lights and boxes, hydroponic systems, ballasts, bulbs, nutrients and additives, and other hydroponic and gardening items. The company also provides turnkey solutions, as well as management and consulting services to the legal and regulated marijuana industry. It serves customers through its online store; and a retail storefront and warehouse/commercial distribution center in Aurora, Colorado. The company was founded in 2001 and is based in Westminster, Colorado.

About Montrose Environmental Group

Montrose Environmental Group, Inc. operates as an environmental services company in the United States, Canada, and internationally. The company operates in three segments: Assessment, Permitting and Response; Measurement and Analysis; and Remediation and Reuse. The Assessment, Permitting and Response segment provides scientific advisory and consulting services to support environmental assessments; environmental emergency response and recovery; toxicology consulting and environmental audits and permits for current operations; facility upgrades; new projects; decommissioning projects; and development projects. This segment also offers technical advisory and consulting services, including regulatory compliance support and planning, environmental, ecosystem and toxicological assessments, and support during responses to environmental disruptions. The Measurement and Analysis segment tests and analyzes air, water, and soil to determine concentrations of contaminants, as well as the toxicological impact of contaminants on flora, fauna, and human health. Its services include source and ambient air testing and monitoring, leak detection, and advanced analytical laboratory services, such as storm water, wastewater, and drinking water analysis. The Remediation and Reuse segment provides engineering, design, implementation, and operations and maintenance services primarily to treat contaminated water, remove contaminants from soil, or create biogas from waste. The company serves financial, oil and gas, utilities, construction, automotive, real-estate, midstream energy, manufacturing, commodities, petrochemical, food and beverage, telecommunications, and engineering industries, as well as local, state, provincial, and federal government entities. Montrose Environmental Group, Inc. was founded in 2012 and is headquartered in North Little Rock, Arkansas.