AWX vs ASTE vs CMI vs CWST vs CAT

For growth investors, Casella Waste Systems, Inc.

(CWST) is the stronger pick with 18. 0% revenue growth year-over-year, versus -1. 3% for Cummins Inc. (CMI). Avalon Holdings Corporation (AWX) offers the better valuation at 30. 7x trailing P/E, making it the more compelling value choice. Analysts rate Astec Industries, Inc. (ASTE) a "Buy" — based on 12 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Avalon Holdings Corporation (AWX) is the cheapest at 30.

7x versus Casella Waste Systems, Inc. at 712. 1x. On forward P/E, Astec Industries, Inc. is actually cheaper at 14. 9x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Caterpillar Inc. wins at 1. 32x versus Cummins Inc. 's 2. 14x — a reasonable growth-adjusted valuation.

Over the past 5 years, Caterpillar Inc.

(CAT) delivered a total return of +282. 5%, compared to -43. 9% for Avalon Holdings Corporation (AWX). Over 10 years, the gap is even starker: CAT returned +1230% versus ASTE's +22. 9%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Avalon Holdings Corporation (AWX) is the lower-risk stock at -0.

02β versus Cummins Inc. 's 1. 62β — meaning CMI is approximately -6991% more volatile than AWX relative to the S&P 500. On balance sheet safety, Astec Industries, Inc. (ASTE) carries a lower debt/equity ratio of 47% versus 2% for Caterpillar Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Casella Waste Systems, Inc.

(CWST) is pulling ahead at 18. 0% versus -1. 3% for Cummins Inc. (CMI). On earnings-per-share growth, the picture is similar: Astec Industries, Inc. grew EPS 784. 2% year-over-year, compared to -75. 8% for Avalon Holdings Corporation. Over a 3-year CAGR, CWST leads at 19. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Caterpillar Inc.

(CAT) is the more profitable company, earning 13. 1% net margin versus 0. 4% for Avalon Holdings Corporation — meaning it keeps 13. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: CAT leads at 16. 6% versus 2. 4% for AWX. At the gross margin level — before operating expenses — CAT leads at 32. 3%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Caterpillar Inc. (CAT) is the more undervalued stock at a PEG of 1. 32x versus Cummins Inc. 's 2. 14x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, Astec Industries, Inc. (ASTE) trades at 14. 9x forward P/E versus 62. 7x for Casella Waste Systems, Inc. — 47. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for CWST: 31. 5% to $112. 33.

In this comparison, CMI (1.

1% yield), ASTE (1. 0% yield), CAT (0. 7% yield) pay a dividend. AWX, CWST do not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Casella Waste Systems, Inc.

(CWST) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 33), +1059% 10Y return). Astec Industries, Inc. (ASTE) carries a higher beta of 1. 52 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (CWST: +1059%, ASTE: +22. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: AWX is a small-cap quality compounder stock; ASTE is a small-cap quality compounder stock; CMI is a mid-cap quality compounder stock; CWST is a small-cap high-growth stock; CAT is a large-cap quality compounder stock. ASTE, CMI, CAT pay a dividend while AWX, CWST do not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.