Grab (NASDAQ:GRAB – Get Rating) and Steel Connect (NASDAQ:STCN – Get Rating) are both business services companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, risk, valuation, dividends, analyst recommendations, earnings and profitability.
Earnings & Valuation
This table compares Grab and Steel Connect's gross revenue, earnings per share and valuation.
Get Grab alerts:Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Grab | $1.43 billion | 7.49 | -$1.68 billion | ($0.44) | -6.52 |
Steel Connect | $206.74 million | 0.23 | -$10.97 million | $0.55 | 1.43 |
Steel Connect has lower revenue, but higher earnings than Grab. Grab is trading at a lower price-to-earnings ratio than Steel Connect, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
Grab has a beta of 0.77, suggesting that its stock price is 23% less volatile than the S&P 500. Comparatively, Steel Connect has a beta of 0.31, suggesting that its stock price is 69% less volatile than the S&P 500.
Analyst Recommendations
This is a breakdown of recent ratings for Grab and Steel Connect, as reported by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Grab | 1 | 2 | 9 | 0 | 2.67 |
Steel Connect | 0 | 0 | 0 | 0 | N/A |
Grab currently has a consensus target price of $3.92, indicating a potential upside of 36.44%. Given Grab's higher possible upside, research analysts plainly believe Grab is more favorable than Steel Connect.
Profitability
This table compares Grab and Steel Connect's net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Grab | -117.45% | -23.71% | -16.61% |
Steel Connect | 17.38% | N/A | -1.63% |
Institutional & Insider Ownership
46.6% of Grab shares are held by institutional investors. Comparatively, 47.2% of Steel Connect shares are held by institutional investors. 3.6% of Grab shares are held by insiders. Comparatively, 11.0% of Steel Connect shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.
Summary
Steel Connect beats Grab on 8 of the 13 factors compared between the two stocks.
About Grab
(Get Rating)
Grab Holdings Limited provides superapps that allows access to mobility, delivery, financial services, and enterprise offerings through its mobile application in Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam. The company is headquartered in Singapore.
About Steel Connect
(Get Rating)
Steel Connect, Inc. is a holding company, which engages in the provision of an end-to-end global supply chain solutions and e-commerce services. Its product aims to improve their clients' global supply chain, speed to market, product customization, flexibility, cost, quality and service. The company was founded in 1986 and is headquartered in Smyrna, TN.
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