Arq Inc (ARQ)vsZurn Elkay Water Solutions Corporation (ZWS)
ARQ
Arq Inc
$2.20
-1.35%
INDUSTRIALS · Cap: $96.07M
ZWS
Zurn Elkay Water Solutions Corporation
$46.18
+1.45%
INDUSTRIALS · Cap: $7.90B
Smart Verdict
WallStSmart Research — data-driven comparison
Zurn Elkay Water Solutions Corporation generates 1347% more annual revenue ($1.79B vs $123.44M). ZWS leads profitability with a 15.4% profit margin vs -42.2%. ZWS appears more attractively valued with a PEG of 1.56. ZWS earns a higher WallStSmart Score of 70/100 (B-).
ARQ
Hold39
out of 100
Grade: F
ZWS
Strong Buy70
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+64.3%
Fair Value
$10.63
Current Price
$2.20
$8.43 discount
Margin of Safety
-5.6%
Fair Value
$48.83
Current Price
$46.18
$2.65 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Strong operational efficiency at 31.4%
Earnings expanding 132.0% YoY
Areas to Watch
4.5% revenue growth
0.0% earnings growth
Distress zone — elevated risk
Smaller company, higher risk/reward
Expensive relative to growth rate
Moderate valuation
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : ARQ
The strongest argument for ARQ centers on Price/Book, Debt/Equity.
Bull Case : ZWS
The strongest argument for ZWS centers on Operating Margin, EPS Growth. Profitability is solid with margins at 15.4% and operating margin at 31.4%. Revenue growth of 10.5% demonstrates continued momentum.
Bear Case : ARQ
The primary concerns for ARQ are Revenue Growth, EPS Growth, Altman Z-Score.
Bear Case : ZWS
The primary concerns for ZWS are PEG Ratio, P/E Ratio, Altman Z-Score.
Key Dynamics to Monitor
ARQ profiles as a turnaround stock while ZWS is a mature play — different risk/reward profiles.
ARQ carries more volatility with a beta of 2.86 — expect wider price swings.
ZWS is growing revenue faster at 10.5% — sustainability is the question.
ZWS generates stronger free cash flow (156M), providing more financial flexibility.
Bottom Line
ZWS scores higher overall (70/100 vs 39/100), backed by strong 15.4% margins and 10.5% revenue growth. ARQ offers better value entry with a 64.3% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Arq Inc
INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA
Arq, Inc. produces activated carbon products in North America. The company is headquartered in Greenwood Village, Colorado.
Visit Website →Zurn Elkay Water Solutions Corporation
INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA
Zurn Water Solutions Corporation designs, acquires, manufactures, and markets water system solutions that provide and improve water quality, safety, flow control, and conservation in and around non-residential buildings. The company is headquartered in Milwaukee, Wisconsin.
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