Critical Review: Hudson Technologies (NASDAQ:HDSN) & Custom Truck One Source (NYSE:CTOS)

Hudson Technologies (NASDAQ:HDSN – Get Free Report) and Custom Truck One Source (NYSE:CTOS – Get Free Report) are both industrials companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, institutional ownership, valuation, profitability, dividends, earnings and analyst recommendations.

Insider and Institutional Ownership

71.3% of Hudson Technologies shares are owned by institutional investors. Comparatively, 90.1% of Custom Truck One Source shares are owned by institutional investors. 1.9% of Hudson Technologies shares are owned by insiders. Comparatively, 4.7% of Custom Truck One Source shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and target prices for Hudson Technologies and Custom Truck One Source, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Hudson Technologies 1 2 2 0 2.20
Custom Truck One Source 1 2 4 1 2.62

Hudson Technologies currently has a consensus price target of $8.62, suggesting a potential upside of 62.43%. Custom Truck One Source has a consensus price target of $12.00, suggesting a potential upside of 20.52%. Given Hudson Technologies’ higher possible upside, equities analysts plainly believe Hudson Technologies is more favorable than Custom Truck One Source.

Profitability

This table compares Hudson Technologies and Custom Truck One Source’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Hudson Technologies 3.51% 4.95% 3.81%
Custom Truck One Source 1.05% 2.66% 0.61%

Valuation and Earnings

This table compares Hudson Technologies and Custom Truck One Source”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Hudson Technologies $256.92 million 0.87 $16.67 million $0.20 26.55
Custom Truck One Source $1.94 billion 1.17 -$31.05 million $0.09 110.63

Hudson Technologies has higher earnings, but lower revenue than Custom Truck One Source. Hudson Technologies is trading at a lower price-to-earnings ratio than Custom Truck One Source, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Hudson Technologies has a beta of 0.83, meaning that its share price is 17% less volatile than the S&P 500. Comparatively, Custom Truck One Source has a beta of 1.43, meaning that its share price is 43% more volatile than the S&P 500.

Summary

Custom Truck One Source beats Hudson Technologies on 9 of the 15 factors compared between the two stocks.

About Hudson Technologies

(Get Free Report)

Hudson Technologies, Inc., through its subsidiary, Hudson Technologies Company, engages in the provision of solutions to recurring problems within the refrigeration industry in the United States. The company engages in the sale of refrigerant and industrial gas; provision of refrigerant management services consisting primarily of reclamation of refrigerants, re-usable cylinder refurbishment, and hydrostatic testing services; and RefrigerantSide services comprising system decontamination and recovery to remove moisture, oils, and other contaminants. It also offers Chiller Chemistry, which integrates several fluid tests of an operating system and the corresponding laboratory results into an engineering report; Fluid Chemistry, an abbreviated version of Chiller Chemistry, which is designed to quickly identify systems that require further examination; SmartEnergy OPS, a web-based real time continuous monitoring system, for measuring, modifying and improving the efficiency of energy systems, including air conditioning and refrigeration systems, in industrial and commercial applications; and ChillSmart, which combines the system optimization with Chiller Chemistry for providing a snapshot of a packaged chiller's operating efficiency and health. In addition, the company participates in the generation of carbon offset projects. It serves commercial, industrial, and governmental customers, as well as refrigerant wholesalers, distributors, contractors, and refrigeration equipment manufacturers. The company was incorporated in 1991 and is headquartered in Woodcliff Lake, New Jersey.

About Custom Truck One Source

(Get Free Report)

Custom Truck One Source, Inc. provides specialty equipment rental and sale services to the electric utility transmission and distribution, telecommunications, rail, forestry, waste management, and other infrastructure-related industries in the United States and Canada. The company operates through three segments: Equipment Rental Solutions (ERS), Truck and Equipment Sales (TES), and Aftermarket Parts and Services (APS). The ERS segment owns new and used specialty equipment, including truck-mounted aerial lifts, cranes, service trucks, dump trucks, trailers, digger derricks, and other machinery and equipment. The TES segment offers new equipment for sale to be used for end-markets, which can be modified to meet customers specific needs. The APS segment provides truck and equipment maintenance and repair services; and rents and sells specialized tools, including stringing blocks, insulated hot stick, and rigging equipment, as well as sale of specialized aftermarket parts. The company was formerly known as Nesco Holdings, Inc. and changed its name to Custom Truck One Source, Inc. in April 2021. Custom Truck One Source, Inc. was founded in 1988 and is headquartered in Kansas City, Missouri.

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