Financial Contrast: China Energy Recovery (OTCMKTS:CGYV) vs. ATS (NYSE:ATS)

ATS (NYSE:ATS) and China Energy Recovery (OTCMKTS:CGYV) are both industrial products companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, analyst recommendations, risk and valuation.

Insider & Institutional Ownership

75.8% of ATS shares are held by institutional investors. 37.7% of China Energy Recovery shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation & Earnings

This table compares ATS and China Energy Recovery’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ATS	$1.95 billion	1.81	$96.40 million	$1.34	26.69
China Energy Recovery	N/A	N/A	N/A	N/A	N/A

ATS has higher revenue and earnings than China Energy Recovery.

Profitability

This table compares ATS and China Energy Recovery’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ATS	5.89%	17.56%	6.82%
China Energy Recovery	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and recommmendations for ATS and China Energy Recovery, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ATS	1	1	1	0	2.00
China Energy Recovery	0	0	0	0	N/A

ATS presently has a consensus target price of $48.00, indicating a potential upside of 34.19%. Given ATS’s higher possible upside, analysts plainly believe ATS is more favorable than China Energy Recovery.

Summary

ATS beats China Energy Recovery on 7 of the 8 factors compared between the two stocks.

About ATS

ATS Corporation, together with its subsidiaries, provides automation solutions worldwide. The company is also involved in planning, designing, building, commissioning, and servicing automated manufacturing and assembly systems, including automation products and test solutions. In addition, it offers pre-automation services comprising discovery and analysis, concept development, simulation, and total cost of ownership modelling; post automation services, including training, process optimization, preventative maintenance, emergency and on-call support, spare parts, retooling, retrofits, and equipment relocation; and contract manufacturing services, as well as after sales and services. Further, the company provides engineering design, prototyping, process verification, specification writing, software and manufacturing process controls development, standard automation products/platforms, equipment design and build, third-party equipment qualification, procurement and integration, automation system installation, product line commissioning, validation, and documentation services. Additionally, it offers value engineering, supply chain management, and integration and manufacturing capabilities, as well as other automation products and solutions; and software and digital solutions comprising connected factory floor management systems to capture, analyze, and use real time machine performance data to troubleshoot, deliver process and product solutions, prevent equipment downtime, drive operational efficiency, and unlock performance for sustainable production improvements. ATS Corporation serves life sciences, transportation and mobility, consumer products, food and beverage, electronics, nuclear, packaging, warehousing and distribution, and energy markets. The company was formerly known as ATS Automation Tooling Systems Inc. and changed its name to ATS Corporation in November 2022. ATS Corporation was founded in 1978 and is headquartered in Cambridge, Canada.

About China Energy Recovery

China Energy Recovery, Inc. designs, manufactures, installs, and services waste heat recovery systems in China. The company's energy recovery systems capture industrial waste energy to produce electrical power, which enables industrial manufacturers to reduce their energy costs, shrink their emissions footprint, and generate saleable emissions credits. It serves petrochemical, paper manufacturing, refining/power generation, coke processing, cement, and steel industries. The company was incorporated in 1998 and is headquartered in Shanghai, China.