Head to Head Contrast: Clean Energy Technologies (NASDAQ:CETY) and Ameresco (NYSE:AMRC)

Ameresco (NYSE:AMRC) and Clean Energy Technologies (NASDAQ:CETY) are both small-cap energy companies, but which is the better investment? We will compare the two businesses based on the strength of their institutional ownership, dividends, valuation, risk, profitability, earnings and analyst recommendations.

Profitability

This table compares Ameresco and Clean Energy Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ameresco	3.34%	6.97%	1.74%
Clean Energy Technologies	-192.29%	-84.63%	-35.69%

Volatility and Risk

Ameresco has a beta of 2.5, meaning that its share price is 150% more volatile than the S&P 500. Comparatively, Clean Energy Technologies has a beta of -1.41, meaning that its share price is 241% less volatile than the S&P 500.

Institutional and Insider Ownership

99.2% of Ameresco shares are owned by institutional investors. Comparatively, 0.5% of Clean Energy Technologies shares are owned by institutional investors. 45.0% of Ameresco shares are owned by company insiders. Comparatively, 37.5% of Clean Energy Technologies shares are owned by company 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.

Earnings & Valuation

This table compares Ameresco and Clean Energy Technologies”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ameresco	$1.77 billion	0.87	$56.76 million	$1.19	24.51
Clean Energy Technologies	$2.42 million	1.63	-$4.42 million	($1.22)	-0.60

Ameresco has higher revenue and earnings than Clean Energy Technologies. Clean Energy Technologies is trading at a lower price-to-earnings ratio than Ameresco, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings for Ameresco and Clean Energy Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ameresco	0	4	7	1	2.75
Clean Energy Technologies	1	0	0	0	1.00

Ameresco currently has a consensus target price of $37.70, indicating a potential upside of 29.25%. Given Ameresco’s stronger consensus rating and higher probable upside, analysts plainly believe Ameresco is more favorable than Clean Energy Technologies.

Summary

Ameresco beats Clean Energy Technologies on 14 of the 15 factors compared between the two stocks.

About Ameresco

Ameresco, Inc., a clean technology integrator, provides a portfolio of energy efficiency and renewable energy supply solutions in the United States, Canada, Europe, and internationally. It operates through U.S. Regions, U.S. Federal, Canada, Europe, Alternative Fuels, and All Other segments. The company offers energy efficiency, infrastructure upgrades, energy security and resilience, asset sustainability, and renewable energy solutions for businesses and organizations. It designs, develops, engineers, and installs projects that reduce the energy, as well as operations and maintenance (O&M) costs of its customers' facilities; and projects primarily include various measures customized for the facility and designed to enhance the efficiency of building systems, such as heating, ventilation, cooling, and lighting systems. In addition, the company offers renewable energy solutions and services, such as the construction of small-scale plants that the company owns or develops for customers that produce electricity, gas, heat, or cooling from renewable sources of energy and O&M services; and electricity, processed renewable gas fuel, and heat or cooling produced from renewable sources of energy. Further, the company sells photovoltaic (PV) solar energy products and systems, as well as provides consulting, and enterprise energy management services; and operates wind farms. It serves the federal, state, local governments, healthcare and educational institutions, airports, public housing authorities and public universities, municipal utilities, and commercial and industrial customers. As of December 31, 2023, the company owned and operated 185 small-scale renewable energy plants and solar PV installations. Ameresco, Inc. was incorporated in 2000 and is headquartered in Framingham, Massachusetts.

About Clean Energy Technologies

Clean Energy Technologies, Inc. designs, produces, and markets clean energy products and integrated solutions that focuses on energy efficiency and renewable energy in the United States. It operates through four segments: Clean Energy HRS and CETY Europe, CETY Renewables Waste to Energy Solutions, engineering and Manufacturing Business, and CETY HK. The company offers Clean Cycle, which generates electricity by recycling wasted heat produced in manufacturing, waste to energy, and power generation facilities. It also converts waste products created in manufacturing, agriculture, wastewater treatment plants, and other industries to electricity, renewable natural gas, hydrogen, and bio char. In addition, the company offers engineering, consulting, and project management solutions. Further, the company is involved in the sourcing and suppling of liquefied natural gas to industries and municipalities located in the southern part of Sichuan Province and portions of Yunnan Province. The company was formerly known as Probe Manufacturing, Inc. and changed its name to Clean Energy Technologies, Inc. in November 2015. Clean Energy Technologies, Inc. was founded in 1993 and is headquartered in Irvine, California. Clean Energy Technologies, Inc. is a subsidiary of MGW Investment I Ltd.