Grabagun Digital (NYSE:PEW – Get Free Report) and Petco Health and Wellness (NASDAQ:WOOF – Get Free Report) are both small-cap consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, risk, analyst recommendations, dividends, profitability, valuation and earnings.
Profitability
This table compares Grabagun Digital and Petco Health and Wellness’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Grabagun Digital | -6.42% | -6.15% | -5.16% |
| Petco Health and Wellness | 0.51% | 3.44% | 0.78% |
Insider and Institutional Ownership
4.8% of Grabagun Digital shares are held by institutional investors. 27.8% of Grabagun Digital shares are held by insiders. Comparatively, 6.5% of Petco Health and Wellness shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
Earnings & Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Grabagun Digital | $96.45 million | 0.65 | -$2.51 million | ($0.23) | -9.25 |
| Petco Health and Wellness | $5.96 billion | 0.13 | $9.07 million | $0.10 | 24.00 |
Petco Health and Wellness has higher revenue and earnings than Grabagun Digital. Grabagun Digital is trading at a lower price-to-earnings ratio than Petco Health and Wellness, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a breakdown of recent ratings and price targets for Grabagun Digital and Petco Health and Wellness, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Grabagun Digital | 1 | 0 | 1 | 0 | 2.00 |
| Petco Health and Wellness | 2 | 5 | 1 | 1 | 2.11 |
Grabagun Digital currently has a consensus target price of $5.00, suggesting a potential upside of 134.96%. Petco Health and Wellness has a consensus target price of $3.42, suggesting a potential upside of 42.50%. Given Grabagun Digital’s higher probable upside, analysts plainly believe Grabagun Digital is more favorable than Petco Health and Wellness.
Volatility and Risk
Grabagun Digital has a beta of -0.08, indicating that its stock price is 108% less volatile than the S&P 500. Comparatively, Petco Health and Wellness has a beta of 1.53, indicating that its stock price is 53% more volatile than the S&P 500.
Summary
Petco Health and Wellness beats Grabagun Digital on 10 of the 14 factors compared between the two stocks.
About Grabagun Digital
GrabAGun.com is an online retailer of firearms, ammunition and related accessories. GrabAGun.com, formerly known as Colombier Acquisition Corp. II, is based in COPPELL, Texas.
About Petco Health and Wellness
Petco Health and Wellness Company, Inc., operates as a health and wellness company, focuses on enhancing the lives of pets, pet parents, and its Petco partners in the United States, Mexico, and Puerto Rico. The company provides veterinary care, grooming, training, tele-health, and Vital Care and pet health insurance services, as well as veterinary services through Vetco mobile clinics. It also offers pet consumables, supplies, and services through its petco.com, petcoach.co, petinsurancequotes.com, and pupbox.com websites. The company offers its products under the WholeHearted, Reddy, and Well & Good brands. Petco Health and Wellness Company, Inc. was founded in 1965 and is headquartered in San Diego, California.
Receive News & Ratings for Grabagun Digital Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Grabagun Digital and related companies with MarketBeat.com's FREE daily email newsletter.
