Contrasting Brookfield Business (NYSE:BBUC) and Bowman Consulting Group (NASDAQ:BWMN)

Bowman Consulting Group (NASDAQ:BWMN) and Brookfield Business (NYSE:BBUC) are both industrials companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, valuation, profitability, risk, dividends, earnings and analyst recommendations.

Analyst Ratings

This is a summary of current ratings and price targets for Bowman Consulting Group and Brookfield Business, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bowman Consulting Group	1	7	0	0	1.88
Brookfield Business	1	2	3	0	2.33

Bowman Consulting Group presently has a consensus target price of $43.00, suggesting a potential upside of 0.95%. Brookfield Business has a consensus target price of $39.20, suggesting a potential upside of 54.99%. Given Brookfield Business’ stronger consensus rating and higher possible upside, analysts plainly believe Brookfield Business is more favorable than Bowman Consulting Group.

Institutional & Insider Ownership

63.2% of Bowman Consulting Group shares are held by institutional investors. Comparatively, 85.0% of Brookfield Business shares are held by institutional investors. 17.5% of Bowman Consulting Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

Bowman Consulting Group has a beta of 1.44, suggesting that its share price is 44% more volatile than the S&P 500. Comparatively, Brookfield Business has a beta of 1.25, suggesting that its share price is 25% more volatile than the S&P 500.

Profitability

This table compares Bowman Consulting Group and Brookfield Business’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bowman Consulting Group	1.30%	2.67%	1.20%
Brookfield Business	1.13%	2.05%	0.40%

Earnings & Valuation

This table compares Bowman Consulting Group and Brookfield Business”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bowman Consulting Group	$490.02 million	1.51	$12.85 million	$0.40	106.49
Brookfield Business	$27.46 billion	0.19	-$26.00 million	($0.39)	-64.85

Bowman Consulting Group has higher earnings, but lower revenue than Brookfield Business. Brookfield Business is trading at a lower price-to-earnings ratio than Bowman Consulting Group, indicating that it is currently the more affordable of the two stocks.

Summary

Bowman Consulting Group beats Brookfield Business on 9 of the 14 factors compared between the two stocks.

About Bowman Consulting Group

Bowman Consulting Group Ltd. provides a range of real estate, energy, infrastructure, and environmental management solutions in the United States. It offers civil and site engineering services, such as conceptual land planning, environmental consulting and permitting, planning/zoning and entitlements, roadway and highway designs, erosion and sediment designs, stormwater management designs, construction administration, traffic studies, floodplain studies, and utility relocation designs; and commissioning and energy efficiency services comprise construction observation, direct systems functional performance testing, system development readiness checklist, post occupancy review, review of construction documents, deferred/seasonal functional testing, final commissioning report, and commissioning review of submittals. The company also provides construction management services, including constructability review, value engineering, budgeting and cost estimating, interagency and utility coordination, onsite observation and report evaluation, public communication and outreach, and resident engineer services, as well as bid solicitation, documentation, and preparation services; and environmental consulting services consisting of wetlands and waters of the U.S. delineations, natural resources inventories, wildlife and vegetation surveys, threatened and endangered species surveys, endangered species conservation and management, wetland creation and enhancement design, NEPA documentation, section 404/401 permitting and compliance, NPDES permitting, and phase I environmental site assessment. In addition, it offers landscape architecture, land procurement and right-of-way acquisition, structural engineering, surveying and geospatial engineering, and transportation and water resources engineering services, as well as mechanical, electrical, and plumbing engineering services. The company was incorporated in 1995 and is headquartered in Reston, Virginia.

About Brookfield Business

Brookfield Business Corporation focuses on healthcare, construction, and wastewater services in the United States, Europe, Australia, the United Kingdom, Canada, and Brazil. It operates through three segments: Business Services, Infrastructure Services, and Industrials. The company operates 42 hospitals; offers construction services for office, residential, hospitality and leisure, social infrastructure, retail, and mixed-use properties; and provides nuclear technology services, such as fuel, maintenance services, engineering solutions, instrumentation and control systems, and manufactured components for nuclear power plants. It also engages in the collection, treatment, and distribution of water and wastewater to the residential and governmental customers. The company was incorporated in 2021 and is headquartered in New York, New York.