Grab (NASDAQ:GRAB – Get Free Report) and Avis Budget Group (NASDAQ:CAR – Get Free Report) are both industrials companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, valuation, earnings, institutional ownership, profitability and dividends.
Analyst Ratings
This is a breakdown of recent ratings and target prices for Grab and Avis Budget Group, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Grab | 1 | 1 | 8 | 1 | 2.82 |
| Avis Budget Group | 3 | 6 | 0 | 0 | 1.67 |
Grab currently has a consensus target price of $6.01, suggesting a potential upside of 99.85%. Avis Budget Group has a consensus target price of $135.57, suggesting a potential upside of 7.21%. Given Grab’s stronger consensus rating and higher probable upside, research analysts clearly believe Grab is more favorable than Avis Budget Group.
Earnings and Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Grab | $3.37 billion | 3.65 | $268.00 million | $0.06 | 50.08 |
| Avis Budget Group | $11.65 billion | 0.38 | -$889.00 million | ($18.17) | -6.96 |
Grab has higher earnings, but lower revenue than Avis Budget Group. Avis Budget Group is trading at a lower price-to-earnings ratio than Grab, indicating that it is currently the more affordable of the two stocks.
Insider and Institutional Ownership
55.5% of Grab shares are held by institutional investors. Comparatively, 96.3% of Avis Budget Group shares are held by institutional investors. 3.6% of Grab shares are held by company insiders. Comparatively, 50.5% of Avis Budget Group shares are held by company 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.
Profitability
This table compares Grab and Avis Budget Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Grab | 15.97% | 8.83% | 4.92% |
| Avis Budget Group | -5.43% | N/A | -0.37% |
Volatility & Risk
Grab has a beta of 0.89, meaning that its stock price is 11% less volatile than the S&P 500. Comparatively, Avis Budget Group has a beta of 1.91, meaning that its stock price is 91% more volatile than the S&P 500.
Summary
Grab beats Avis Budget Group on 11 of the 15 factors compared between the two stocks.
About Grab
Grab Holdings Limited engages in the provision of superapps in Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam. The company offers its Grab ecosystem, a single platform with superapps for driver- and merchant-partners and consumers, that allows access to mobility, delivery, digital financial services, and enterprise sector offerings. Grab Holdings Limited is headquartered in Singapore.
About Avis Budget Group
Avis Budget Group, Inc. engages in the provision of vehicle sharing and rental services. It operates through the following segments: Americas, International, and Corporate and Other. The Americas segment includes the vehicle rental and car sharing operations in North America, South America, Central America, and the Caribbean. The International segment is involved in the vehicle rental and car sharing operations in Europe, the Middle East, Africa, Asia, and Australasia. The company was founded in 1946 and is headquartered in Parsippany, NJ.
Receive News & Ratings for Grab Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Grab and related companies with MarketBeat.com's FREE daily email newsletter.
