OPENLANE (NYSE:KAR – Get Free Report) and Lazydays (NASDAQ:GORV – Get Free Report) are both small-cap auto/tires/trucks companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, earnings, profitability, dividends, risk and institutional ownership.
Risk & Volatility
OPENLANE has a beta of 1.44, indicating that its share price is 44% more volatile than the S&P 500. Comparatively, Lazydays has a beta of 1.98, indicating that its share price is 98% more volatile than the S&P 500.
Analyst Ratings
This is a breakdown of recent ratings and target prices for OPENLANE and Lazydays, as reported by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
OPENLANE | 0 | 2 | 3 | 0 | 2.60 |
Lazydays | 0 | 2 | 0 | 0 | 2.00 |
Valuation & Earnings
This table compares OPENLANE and Lazydays”s revenue, earnings per share (EPS) and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
OPENLANE | $1.66 billion | 1.08 | -$154.10 million | ($1.79) | -9.22 |
Lazydays | $987.99 million | 0.02 | -$110.27 million | ($9.62) | -0.16 |
Lazydays has lower revenue, but higher earnings than OPENLANE. OPENLANE is trading at a lower price-to-earnings ratio than Lazydays, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares OPENLANE and Lazydays’ net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
OPENLANE | 3.39% | 7.85% | 2.20% |
Lazydays | -18.19% | -35.04% | -6.55% |
Institutional and Insider Ownership
99.8% of OPENLANE shares are owned by institutional investors. Comparatively, 89.7% of Lazydays shares are owned by institutional investors. 2.3% of OPENLANE shares are owned by insiders. Comparatively, 61.5% of Lazydays shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Summary
OPENLANE beats Lazydays on 9 of the 14 factors compared between the two stocks.
About OPENLANE
OPENLANE, Inc., together with its subsidiaries, operates as a digital marketplace for used vehicles, which connects sellers and buyers in North America, Europe, the Philippines, and Uruguay. The company operates through two segments, Marketplace and Finance. The Marketplace segment offers digital marketplace services for buying and selling used vehicles. Its digital marketplaces include OPENLANE, a mobile-app enabled solutions that allows dealers to sell and source inventory in the United States. This segment also provides value-added ancillary services, including inbound and outbound transportation logistics, reconditioning, vehicle inspection and certification, titling, administrative, and collateral recovery services. This segment sells its products and services through vehicle manufacturers, fleet companies, rental car companies, finance companies, and others. The Finance segment offers floorplan financing, a short-term inventory-secured financing to independent used vehicle dealers. The company serves commercial customers and dealer customers. The company was formerly known as KAR Auction Services, Inc. and changed its name to OPENLANE, Inc. in May 2023. OPENLANE, Inc. was incorporated in 2006 and is headquartered in Carmel, Indiana.
About Lazydays
Lazydays Holdings, Inc. operates recreational vehicle (RV) dealerships under the Lazydays name in the United States. The company offers RV sales, RV-repair and services, financing and insurance products, third-party protection plans, and after-market parts and accessories. It also operates the Lazydays RV resort at Tampa, Florida. The company was founded in 1976 and is based in Tampa, Florida.
Receive News & Ratings for OPENLANE Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for OPENLANE and related companies with MarketBeat.com's FREE daily email newsletter.