PhoneX (OTCMKTS:PXHI) versus MonotaRO (OTCMKTS:MONOY) Critical Analysis

PhoneX (OTCMKTS:PXHI) and MonotaRO (OTCMKTS:MONOY) are both computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, profitability, analyst recommendations, dividends, risk, valuation and institutional ownership.

Risk and Volatility

PhoneX has a beta of 2.25, meaning that its stock price is 125% more volatile than the S&P 500. Comparatively, MonotaRO has a beta of 0.68, meaning that its stock price is 32% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and target prices for PhoneX and MonotaRO, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PhoneX	0	0	0	0	N/A
MonotaRO	0	0	0	0	N/A

Valuation & Earnings

This table compares PhoneX and MonotaRO”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PhoneX	$179.41 million	0.23	$6.41 million	$0.16	7.19
MonotaRO	$1.81 billion	4.20	$154.87 million	$0.31	49.03

MonotaRO has higher revenue and earnings than PhoneX. PhoneX is trading at a lower price-to-earnings ratio than MonotaRO, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares PhoneX and MonotaRO’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PhoneX	3.46%	N/A	N/A
MonotaRO	8.70%	27.44%	18.96%

Insider & Institutional Ownership

0.1% of MonotaRO shares are owned by institutional investors. 21.5% of PhoneX shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

MonotaRO beats PhoneX on 9 of the 11 factors compared between the two stocks.

About PhoneX

PhoneX Holdings, Inc. operates as a market maker of used smartphones. The company acquires products from individual consumers through its uSell.com Website, as well as from various carriers, big box retailers, and manufacturers through its subsidiary, We Sell Cellular. It sells its devices to professional buyers, such as brick and mortar retailers, online retailers, large and small wholesalers, small repair shops, large refurbishing providers, and insurance companies, as well as directly to consumers through third party e-commerce platforms. The company was formerly known as usell.com, Inc. and changed its name to PhoneX Holdings, Inc. in May 2019. PhoneX Holdings, Inc. was incorporated in 2003 and is headquartered in New York, New York.

About MonotaRO

MonotaRO Co., Ltd., together with its subsidiaries, operates an online MRO products store in Japan and internationally. The company offers safety protective equipment, work clothes, and safety shoes; logistics, storage, and packing supplies; tapes; safety, disaster prevention, and crime prevention products; safety signs; ship and fishing supplies; office supplies; office furniture/lighting/cleaning supplies; cutting tools and abrasives; measurement and surveying equipment; hand tools/electric and pneumatic tools; sprays, oils, greases, and paints; adhesives and repair materials; welding supplies; and piping and water related components/pumps/pneumatic and hydraulic equipment/hoses. It also provides mechanical parts; control equipment; soldering and anti-static products; architectural hardware, building materials, painting, and interior supplies; air conditioning and electrical equipment; electrical materials; screws, bolts, nails, and materials; automotive supplies; truck supplies; motorcycle supplies; bicycle supplies; scientific research and development supplies; clean room supplies; kitchen equipment and store supplies; agricultural and gardening supplies; and medical and nursing supplies. It serves factories, construction, automobile maintenance, and other industries. The company was formerly known as Sumisho Grainger Co., Ltd. and changed its name to MonotaRO Co., Ltd. in February 2006. The company was incorporated in 2000 and is headquartered in Osaka, Japan. MonotaRO Co., Ltd. operates as a subsidiary of Grainger Global Holdings, Inc.