Head to Head Review: PAMT (NASDAQ:PAMT) vs. Stonepath Group (OTCMKTS:SGRZ)

PAMT (NASDAQ:PAMT) and Stonepath Group (OTCMKTS:SGRZ) are both industrials companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, valuation, profitability, earnings, dividends, analyst recommendations and institutional ownership.

Risk and Volatility

PAMT has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500. Comparatively, Stonepath Group has a beta of 0.86, meaning that its share price is 14% less volatile than the S&P 500.

Valuation and Earnings

This table compares PAMT and Stonepath Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PAMT	$598.06 million	0.53	-$52.61 million	($2.13)	-7.07
Stonepath Group	N/A	N/A	N/A	N/A	N/A

Stonepath Group has lower revenue, but higher earnings than PAMT.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for PAMT and Stonepath Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PAMT	1	0	0	0	1.00
Stonepath Group	0	0	0	0	0.00

Given Stonepath Group’s higher possible upside, analysts plainly believe Stonepath Group is more favorable than PAMT.

Profitability

This table compares PAMT and Stonepath Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PAMT	-7.07%	-13.55%	-4.27%
Stonepath Group	N/A	N/A	N/A

Insider & Institutional Ownership

22.1% of PAMT shares are owned by institutional investors. 77.2% of PAMT shares are owned by company insiders. Comparatively, 13.6% of Stonepath Group shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

PAMT beats Stonepath Group on 5 of the 9 factors compared between the two stocks.

About PAMT

PAMT Corp. is a holding company, which engages in the provision of truckload and logistics services through its subsidiaries. Its freight consists primarily of automotive parts, expedited goods, consumer goods, such as general retail store merchandise, and manufactured goods, such as heating and air conditioning units. The company was founded in June 1986 and is headquartered in Tontitown, AR.

About Stonepath Group

Stonepath Group Inc., a third-party logistics company, provides transportation and logistics services worldwide. The company offers various supply chain solutions to a diverse client base, including manufacturers, distributors, and retail chains. Its transportation services include air and ocean freight forwarding, distribution, customs brokerage, consulting services, shipment tracking between pickup and delivery, and other customized management services. Stonepath Group co-ordinates the movement of raw materials, supplies, components, and finished goods for its customers throughout North America and internationally. The company also provides warehousing and distribution services in North America, and offers customs clearance and bonded warehousing services in the international markets. In addition, it provides contract logistics, global project management, order fulfillment, and inventory control services. As of March 31, 2006, the company operated a network of offices in 21 major metropolitan areas in North America, 17 locations in the Asia Pacific region, 3 locations in Brazil, and 1 location in Europe, as well as a network of independent agents and service partners worldwide. The company was formerly known as Net Value Holdings and changed its name to Stonepath Group Inc. in October 2000. The company was incorporated in 1998 and is based in Seattle, Washington. On May 8, 2007, an involuntary petition for bankruptcy protection was filed by Spherion Corporation, Custom Transfer Incorporated, and Overbye Transport Incorporated against Stonepath Group Inc. under Chapter 7 liquidation with the U.S. Bankruptcy Court for the District of Delaware.