Critical Comparison: Everus (NYSE:ECG) and NVR (NYSE:NVR)

NVR (NYSE:NVR) and Everus (NYSE:ECG) are both construction companies, but which is the superior business? We will compare the two businesses based on the strength of their profitability, dividends, institutional ownership, analyst recommendations, valuation, earnings and risk.

Profitability

This table compares NVR and Everus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NVR	16.51%	38.20%	25.11%
Everus	N/A	N/A	N/A

Insider and Institutional Ownership

83.7% of NVR shares are owned by institutional investors. 7.0% of NVR shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current recommendations and price targets for NVR and Everus, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NVR	0	3	1	0	2.25
Everus	0	2	2	0	2.50

NVR currently has a consensus target price of $9,765.00, suggesting a potential upside of 20.54%. Everus has a consensus target price of $67.67, suggesting a potential upside of 4.75%. Given NVR’s higher probable upside, analysts plainly believe NVR is more favorable than Everus.

Earnings and Valuation

This table compares NVR and Everus”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NVR	$9.31 billion	2.66	$1.59 billion	$489.16	16.56
Everus	$2.73 billion	1.21	$137.23 million	N/A	N/A

NVR has higher revenue and earnings than Everus.

Summary

NVR beats Everus on 9 of the 11 factors compared between the two stocks.

About NVR

NVR, Inc. operates as a homebuilder in the United States. The company operates through, Homebuilding and Mortgage Banking segments. It engages in the construction and sale of single-family detached homes, townhomes, and condominium buildings under the Ryan Homes, NVHomes, and Heartland Homes names. The company markets its Ryan Homes products to first-time and first-time move-up buyers; and NVHomes and Heartland Homes products to move-up and luxury buyers. It also provides various mortgage related services to its homebuilding customers, as well as brokers title insurance; performs title searches in connection with mortgage loan closings; and sells mortgage loans to investors in the secondary markets on a servicing released basis. The company primarily serves in Maryland, Virginia, West Virginia, Delaware, New Jersey, Eastern Pennsylvania, New York, Ohio, Western Pennsylvania, Indiana, Illinois, North Carolina, Georgia, South Carolina, Florida, Tennessee, and Washington, D.C. NVR, Inc. was founded in 1980 and is headquartered in Reston, Virginia.

About Everus

Everus Construction Group is providing a full spectrum of construction services through its electrical and mechanical and transmission and distribution specialty contracting services principally in United States. Its specialty contracting services are provided to utility, transportation, commercial, industrial, institutional, renewable and other customers. Everus Construction Group is based in BISMARCK, N.D.