Republic Services (NYSE:RSG) vs. LanzaTech Global (NASDAQ:LNZA) Financial Analysis

Republic Services (NYSE:RSG) and LanzaTech Global (NASDAQ:LNZA) are both industrials companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, profitability, risk, earnings, analyst recommendations, institutional ownership and valuation.

Profitability

This table compares Republic Services and LanzaTech Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Republic Services	12.93%	18.65%	6.45%
LanzaTech Global	295.66%	-47.63%	-22.76%

Earnings and Valuation

This table compares Republic Services and LanzaTech Global”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Republic Services	$16.59 billion	4.50	$2.14 billion	$7.23	33.74
LanzaTech Global	$55.85 million	1.20	-$48.95 million	$14.99	0.34

Republic Services has higher revenue and earnings than LanzaTech Global. LanzaTech Global is trading at a lower price-to-earnings ratio than Republic Services, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Republic Services has a beta of 0.39, meaning that its share price is 61% less volatile than the S&P 500. Comparatively, LanzaTech Global has a beta of -1.1, meaning that its share price is 210% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Republic Services and LanzaTech Global, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Republic Services	0	9	12	0	2.57
LanzaTech Global	1	2	0	0	1.67

Republic Services presently has a consensus target price of $245.25, indicating a potential upside of 0.55%. LanzaTech Global has a consensus target price of $14.00, indicating a potential upside of 172.90%. Given LanzaTech Global’s higher possible upside, analysts plainly believe LanzaTech Global is more favorable than Republic Services.

Insider & Institutional Ownership

57.7% of Republic Services shares are owned by institutional investors. Comparatively, 17.8% of LanzaTech Global shares are owned by institutional investors. 0.1% of Republic Services shares are owned by company insiders. Comparatively, 1.3% of LanzaTech Global shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Republic Services beats LanzaTech Global on 10 of the 14 factors compared between the two stocks.

About Republic Services

Republic Services, Inc., together with its subsidiaries, offers environmental services in the United States and Canada. It is involved in the collection and processing of recyclable, solid waste, and industrial waste materials; transportation and disposal of non-hazardous and hazardous waste streams; and other environmental solutions. Its residential collection services include curbside collection of material for transport to transfer stations, landfills, recycling centers, and organics processing facilities; supply of recycling and waste containers; and renting of compactors. The company also engages in the processing and sale of old corrugated containers, old newsprint, aluminum, glass, and other materials; and provision of landfill services. It serves small-container, large-container, and residential customers. The company was incorporated in 1996 and is based in Phoenix, Arizona.

About LanzaTech Global

LanzaTech Global, Inc. operates as a nature-based carbon refining company in the United States and internationally. The company transforms waste carbon into the chemical building blocks for consumer goods, such as sustainable fuels, fabrics, and packaging. It is also developing biocatalysts and processes to produce a suite of additional products utilizing novel biocatalysts, including acetone and isopropanol (IPA) and industrial solvents used in various applications, including production of polymers from IPA. LanzaTech Global, Inc. was founded in 2005 and is headquartered in Skokie, Illinois.