Contrasting Hovnanian Enterprises (NYSE:HOV) & Everus (NYSE:ECG)

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

Valuation and Earnings

This table compares Everus and Hovnanian Enterprises”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Everus	$2.73 billion	1.31	$137.23 million	N/A	N/A
Hovnanian Enterprises	$3.00 billion	0.27	$242.01 million	$32.11	4.15

Hovnanian Enterprises has higher revenue and earnings than Everus.

Institutional & Insider Ownership

65.4% of Hovnanian Enterprises shares are held by institutional investors. 17.7% of Hovnanian Enterprises shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Everus and Hovnanian Enterprises, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Everus	0	2	2	0	2.50
Hovnanian Enterprises	0	2	0	0	2.00

Everus presently has a consensus price target of $67.67, suggesting a potential downside of 3.13%. Hovnanian Enterprises has a consensus price target of $155.00, suggesting a potential upside of 16.31%. Given Hovnanian Enterprises’ higher possible upside, analysts clearly believe Hovnanian Enterprises is more favorable than Everus.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Everus	N/A	N/A	N/A
Hovnanian Enterprises	8.05%	46.58%	10.04%

Summary

Hovnanian Enterprises beats Everus on 8 of the 11 factors compared between the two stocks.

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.

About Hovnanian Enterprises

Hovnanian Enterprises, Inc., through its subsidiaries, designs, constructs, markets, and sells residential homes in the United States. It offers single-family detached homes, attached townhomes and condominiums, urban infill, and active lifestyle homes with amenities, such as clubhouses, swimming pools, tennis courts, tot lots, and open areas. The company markets and builds homes for first-time buyers, first-time and second-time move-up buyers, luxury buyers, active lifestyle buyers, and empty nesters. It also provides mortgage loans, title insurance, and homeowner’s insurance services. The company was founded in 1959 and is headquartered in Matawan, New Jersey.