Grab (NASDAQ:GRAB) vs. Universal Logistics (NASDAQ:ULH) Critical Comparison

Universal Logistics (NASDAQ:ULH) and Grab (NASDAQ:GRAB) are both industrials companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, dividends, analyst recommendations, earnings, risk, valuation and institutional ownership.

Risk & Volatility

Universal Logistics has a beta of 0.69, suggesting that its share price is 31% less volatile than the S&P 500. Comparatively, Grab has a beta of 0.89, suggesting that its share price is 11% less volatile than the S&P 500.

Earnings & Valuation

This table compares Universal Logistics and Grab”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Universal Logistics	$1.56 billion	0.33	-$99.87 million	($1.84)	-10.48
Grab	$3.73 billion	3.79	$268.00 million	$0.06	57.50

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

Insider & Institutional Ownership

25.5% of Universal Logistics shares are held by institutional investors. Comparatively, 55.5% of Grab shares are held by institutional investors. 73.5% of Universal Logistics shares are held by company insiders. Comparatively, 3.6% of Grab shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Universal Logistics and Grab’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Universal Logistics	-3.16%	1.99%	0.62%
Grab	15.97%	8.83%	4.92%

Analyst Recommendations

This is a summary of recent recommendations for Universal Logistics and Grab, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Universal Logistics	2	1	0	0	1.33
Grab	0	2	8	1	2.91

Universal Logistics currently has a consensus price target of $15.00, suggesting a potential downside of 22.20%. Grab has a consensus price target of $6.01, suggesting a potential upside of 74.07%. Given Grab’s stronger consensus rating and higher probable upside, analysts plainly believe Grab is more favorable than Universal Logistics.

Summary

Grab beats Universal Logistics on 14 of the 15 factors compared between the two stocks.

About Universal Logistics

Universal Logistics Holdings, Inc. provides transportation and logistics solutions in the United States, Mexico, Canada, and Colombia. The company offers truckload services, which include dry van, flatbed, heavy-haul, and refrigerated operations; domestic and international freight forwarding, and customs brokerage services. It transports various commodities comprising automotive parts, machinery, building materials, paper, food, consumer goods, furniture, steel, and other metals. The company also provides value-added services for individual customer requirements, including material handling, consolidation, sequencing, sub-assembly, cross-dock, kitting, repacking, warehousing, and returnable container management; and intermodal support services comprising short-to-medium distance delivery of steamship and rail truck containers between the port or railhead, and the customer. It serves automotive, steel, and other metals, retail and consumer goods, energy, and manufacturing industries, as well as other transportation companies who aggregate loads from various shippers. The company was formerly known as Universal Truckload Services, Inc. and changed its name to Universal Logistics Holdings, Inc. in April 2016. Universal Logistics Holdings, Inc. was founded in 1932 and is headquartered in Warren, Michigan.

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.