Critical Comparison: ARQ (NASDAQ:ARQ) vs. ASP Isotopes (NASDAQ:ASPI)

ARQ (NASDAQ:ARQ) and ASP Isotopes (NASDAQ:ASPI) are both small-cap business services companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, profitability, analyst recommendations, institutional ownership, earnings, risk and valuation.

Volatility and Risk

ARQ has a beta of 1.38, indicating that its share price is 38% more volatile than the S&P 500. Comparatively, ASP Isotopes has a beta of 5.15, indicating that its share price is 415% more volatile than the S&P 500.

Valuation & Earnings

This table compares ARQ and ASP Isotopes’ gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ARQ	$99.18 million	2.71	-$12.25 million	($0.50)	-16.04
ASP Isotopes	$433,026.00	408.99	-$16.29 million	($0.49)	-7.39

ARQ has higher revenue and earnings than ASP Isotopes. ARQ is trading at a lower price-to-earnings ratio than ASP Isotopes, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

18.5% of ARQ shares are held by institutional investors. Comparatively, 16.8% of ASP Isotopes shares are held by institutional investors. 22.2% of ARQ shares are held by insiders. Comparatively, 26.3% of ASP Isotopes shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for ARQ and ASP Isotopes, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ARQ	0	0	0	0	N/A
ASP Isotopes	0	0	1	0	3.00

ASP Isotopes has a consensus target price of $5.50, suggesting a potential upside of 51.93%. Given ASP Isotopes’ higher possible upside, analysts clearly believe ASP Isotopes is more favorable than ARQ.

Profitability

This table compares ARQ and ASP Isotopes’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ARQ	-12.35%	-8.35%	-6.16%
ASP Isotopes	N/A	-129.25%	-95.89%

Summary

ASP Isotopes beats ARQ on 8 of the 13 factors compared between the two stocks.

About ARQ

Arq, Inc. produces activated carbon products in North America. The company's products include granular activated carbon, powdered and granular activated carbon, and colloidal carbon products; Arq Powder Wetcake, a fine and low-ash coal waste-derived particle; and additives for air emissions control. Its products are used in various applications, including water treatment, ground water remediation, soil sediments, air emissions, and asphalt additives. The company was formerly known as Advanced Emissions Solutions, Inc. and changed its name to Arq, Inc. in February 2024. Arq, Inc. was founded in 1997 and is headquartered in Greenwood Village, Colorado.

About ASP Isotopes

ASP Isotopes Inc., a development stage advanced materials company, focuses on the production, distribution, marketing, and sale of isotopes. It engages in the production and commercialization of Molybdenum-100, a non-radioactive isotope for the medical industry; Carbon-14; and Silicon-28. The company is also developing Quantum Enrichment technology to produce Ytterbium-176, Nickel-64, Lithium 6, Lithium7, and Uranium-235. ASP Isotopes Inc. was incorporated in 2021 and is headquartered in Washington, District Of Columbia.