Head-To-Head Survey: TOMI Environmental Solutions (NASDAQ:TOMZ) and 374Water (NASDAQ:SCWO)

374Water (NASDAQ:SCWO) and TOMI Environmental Solutions (NASDAQ:TOMZ) are both small-cap business services companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, risk, earnings, valuation, analyst recommendations, institutional ownership and profitability.

Volatility & Risk

374Water has a beta of -0.07, indicating that its stock price is 107% less volatile than the S&P 500. Comparatively, TOMI Environmental Solutions has a beta of 1.56, indicating that its stock price is 56% more volatile than the S&P 500.

Profitability

This table compares 374Water and TOMI Environmental Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
374Water	-911.15%	-160.15%	-118.22%
TOMI Environmental Solutions	-91.40%	-91.39%	-32.35%

Institutional & Insider Ownership

12.2% of 374Water shares are held by institutional investors. Comparatively, 4.8% of TOMI Environmental Solutions shares are held by institutional investors. 16.3% of 374Water shares are held by insiders. Comparatively, 23.5% of TOMI Environmental Solutions shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent recommendations for 374Water and TOMI Environmental Solutions, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
374Water	1	0	0	0	1.00
TOMI Environmental Solutions	1	1	1	0	2.00

TOMI Environmental Solutions has a consensus price target of $3.50, suggesting a potential upside of 355.73%. Given TOMI Environmental Solutions’ stronger consensus rating and higher probable upside, analysts plainly believe TOMI Environmental Solutions is more favorable than 374Water.

Valuation & Earnings

This table compares 374Water and TOMI Environmental Solutions”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
374Water	$440,000.00	102.29	-$12.43 million	($1.20)	-2.22
TOMI Environmental Solutions	$7.74 million	2.01	-$4.48 million	($0.25)	-3.07

TOMI Environmental Solutions has higher revenue and earnings than 374Water. TOMI Environmental Solutions is trading at a lower price-to-earnings ratio than 374Water, indicating that it is currently the more affordable of the two stocks.

Summary

TOMI Environmental Solutions beats 374Water on 11 of the 14 factors compared between the two stocks.

About 374Water

374Water Inc. provides a technology that transforms wet wastes into recoverable resources in the United States. The company transforms wet wastes, including sewage sludge, biosolids, food waste, hazardous and non-hazardous waste, and forever chemicals. It offers AirSCWO systems, a waste stream treatment system based on supercritical water oxidation that are used to treat various hazardous and non-hazardous waste streams. It serves Industrial, agricultural, defense, oil and gas, waste management, sanitation project, environmental remediation and compliance, and municipal markets. 374Water Inc. is based in Durham, North Carolina.

About TOMI Environmental Solutions

TOMI Environmental Solutions, Inc., a bacteria decontamination and infectious disease control company, engages in the provision of environmental solutions for indoor air and surface disinfection and decontamination in the United States and internationally. The company’s disinfection solutions include SteraPak portable disinfection systems, SteraMist select surface units, SteraMist environment systems, SteraMist total disinfection carts, SteraMist transport units, NV+ fogging disinfection and decontamination systems, SteraMist custom engineered systems, SteraMist Hybrid disinfection systems, SteraMist integrated systems, Stainless Steel 90-Degree applicators, SteraMist plasma decontamination chambers, and iHP Corporate Service Decontamination, which provides full room, equipment, facility, and emergency disinfection and decontamination services. It also manufactures, sells, services, and licenses SteraMist Binary Ionization Technology, a hydrogen peroxide-based mist and fog. The company’s products and services are used in hospitals and medical facilities, bio-safety labs, pharmaceutical facilities, meat and produce processing facilities, universities and research facilities, vivarium labs, and other service industries, including cruise ships, office buildings, hotel and motel rooms, schools, restaurants, military barracks, police and fire departments, prisons, and athletic facilities; and single-family homes and multi-unit residences. TOMI Environmental Solutions, Inc. was incorporated in 1979 and is headquartered in Frederick, Maryland.