Environmental vs Civil Engineering Which Is a Better Investment?

Environmental and civil engineering are two distinct sectors within the engineering industry, but they are closely related in their focus on infrastructure and sustainable development. Environmental engineering stocks are companies that specialize in designing and implementing solutions to environmental challenges such as pollution control and waste management. On the other hand, civil engineering stocks focus on the design and construction of buildings, bridges, roads, and other structures. Both sectors play a crucial role in shaping our built environment and addressing pressing global issues. Investors interested in these industries have the opportunity to support companies making a positive impact on the planet while potentially earning a profit.

Environmental or Civil Engineering?

When comparing Environmental and Civil Engineering, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Environmental and Civil Engineering.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Environmental has a dividend yield of -%, while Civil Engineering has a dividend yield of 0.66%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Environmental reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Civil Engineering reports a 5-year dividend growth of 0.00% year and a payout ratio of 10.74%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Environmental P/E ratio at 29.51 and Civil Engineering's P/E ratio at 16.20. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Environmental P/B ratio is 3.16 while Civil Engineering's P/B ratio is 0.69.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Environmental has seen a 5-year revenue growth of 0.68%, while Civil Engineering's is 0.23%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Environmental's ROE at 11.04% and Civil Engineering's ROE at 4.33%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are A$0.33 for Environmental and ฿1.81 for Civil Engineering. Over the past year, Environmental's prices ranged from A$0.21 to A$0.42, with a yearly change of 95.35%. Civil Engineering's prices fluctuated between ฿1.41 and ฿2.54, with a yearly change of 80.14%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.