Comparing Grove Collaborative (NYSE:GROV) & Maplebear (NASDAQ:CART)

Maplebear (NASDAQ:CART) and Grove Collaborative (NYSE:GROV) are both consumer staples companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, earnings, dividends, risk, analyst recommendations, valuation and institutional ownership.

Earnings & Valuation

This table compares Maplebear and Grove Collaborative”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Maplebear	$3.74 billion	3.49	$447.00 million	$1.83	30.84
Grove Collaborative	$173.72 million	0.26	-$11.72 million	($0.19)	-5.55

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

Profitability

This table compares Maplebear and Grove Collaborative’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Maplebear	11.97%	20.19%	14.13%
Grove Collaborative	-4.07%	N/A	-12.35%

Volatility and Risk

Maplebear has a beta of 0.87, indicating that its share price is 13% less volatile than the S&P 500. Comparatively, Grove Collaborative has a beta of 1.06, indicating that its share price is 6% more volatile than the S&P 500.

Institutional & Insider Ownership

63.1% of Maplebear shares are held by institutional investors. Comparatively, 91.6% of Grove Collaborative shares are held by institutional investors. 24.0% of Maplebear shares are held by company insiders. Comparatively, 30.3% of Grove Collaborative shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Maplebear and Grove Collaborative, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Maplebear	0	6	14	0	2.70
Grove Collaborative	1	1	1	0	2.00

Maplebear currently has a consensus price target of $58.24, suggesting a potential upside of 3.18%. Grove Collaborative has a consensus price target of $2.00, suggesting a potential upside of 89.57%. Given Grove Collaborative’s higher probable upside, analysts plainly believe Grove Collaborative is more favorable than Maplebear.

Summary

Maplebear beats Grove Collaborative on 10 of the 14 factors compared between the two stocks.

About Maplebear

Maplebear Inc., doing business as Instacart, engages in the provision of online grocery shopping services to households in North America. It sells and delivers grocery products, as well as pickup services through a mobile application and website. It also operates virtual convenience stores; and provides software-as-a-service solutions to retailers. The company was incorporated in 2012 and is based in San Francisco, California.

About Grove Collaborative

Grove Collaborative Holdings, Inc. operates as a plastic neutral consumer products retailer in the United States. It offers household, personal care, beauty, and other consumer products through retail channels, third parties, direct-to-consumer platform, and mobile applications, as well as online store. The company is headquartered in San Francisco, California.