Analyzing Matrix Service (NASDAQ:MTRX) & Connectm Technology Solutions (NASDAQ:CNTM)

Matrix Service (NASDAQ:MTRX) and Connectm Technology Solutions (NASDAQ:CNTM) are both small-cap oils/energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, risk, profitability, institutional ownership, analyst recommendations, dividends and earnings.

Earnings & Valuation

This table compares Matrix Service and Connectm Technology Solutions”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Matrix Service	$708.26 million	0.46	-$24.98 million	($1.22)	-9.63
Connectm Technology Solutions	$19.42 million	0.62	-$14.94 million	N/A	N/A

Connectm Technology Solutions has lower revenue, but higher earnings than Matrix Service.

Volatility and Risk

Matrix Service has a beta of 1.11, indicating that its share price is 11% more volatile than the S&P 500. Comparatively, Connectm Technology Solutions has a beta of 0.16, indicating that its share price is 84% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Matrix Service and Connectm Technology Solutions, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Matrix Service	0	0	1	0	3.00
Connectm Technology Solutions	0	0	0	0	0.00

Matrix Service currently has a consensus target price of $20.00, indicating a potential upside of 70.21%. Given Matrix Service’s stronger consensus rating and higher probable upside, analysts plainly believe Matrix Service is more favorable than Connectm Technology Solutions.

Profitability

This table compares Matrix Service and Connectm Technology Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Matrix Service	-4.76%	-20.81%	-7.08%
Connectm Technology Solutions	N/A	N/A	-41.21%

Insider & Institutional Ownership

78.4% of Matrix Service shares are owned by institutional investors. Comparatively, 79.6% of Connectm Technology Solutions shares are owned by institutional investors. 4.1% of Matrix Service shares are owned by insiders. Comparatively, 34.0% of Connectm Technology Solutions shares are owned by 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.

About Matrix Service

Matrix Service Company provides engineering, fabrication, construction, and maintenance services to support critical energy infrastructure and industrial markets in the United States, Canada, and internationally. It operates through three segments: Utility and Power Infrastructure; Process and Industrial Facilities; and Storage and Terminal Solutions. The Utility and Power Infrastructure segment offers power delivery services, including construction of new substations, upgrades of existing substations, transmission and distribution line installations, and upgrades and maintenance, and emergency and storm restoration services. This segment also provides engineering, fabrication, and construction services for LNG utility peak shaving facilities; and construction and maintenance services to power generation facilities, including natural gas fired facilities. The Process and Industrial Facilities segment engages in the refining and processing of crude oil; fractionating and marketing of natural, gas and natural gas liquids; and offers plant maintenance, turnarounds, engineering, industrial cleaning services, and capital construction services. The Storage and Terminal Solutions segment undertakes work related to aboveground crude oil and refined product storage tanks and terminals; engineering, procurement, fabrication, and construction services related to cryogenic and other specialty tanks and terminals for LNG, NGLs, hydrogen, ammonia, propane, butane, liquid nitrogen/liquid oxygen, and liquid petroleum; and provides plant work, truck and rail loading/offloading facilities, and marine structures, as well as storage tank and terminal maintenance and repair. This segment also manufactures and sells precision engineered specialty tank products, including geodesic domes, aluminum internal floating roofs, floating suction and skimmer systems, roof drain systems, and floating roof seals. Matrix Service Company was founded in 1984 and is headquartered in Tulsa, Oklahoma.

About Connectm Technology Solutions

Connectm Technology Solutions, Inc. is a technology company, which engages in the electrification economy by integrating electrified energy assets with an AI-driven technology solutions platform. It provides solutions for residential and light commercial buildings, and all-electric original equipment manufacturers (OEMs), with a proprietary digital platform to accelerate the transition to solar and all-electric heating, cooling, and transportation to reduce dependence on fossil fuels, overall energy costs, and carbon footprint. The company was founded on March 22, 2019 and is headquartered in Marlborough, MA.