Analyzing Edify Acquisition (NASDAQ:EAC) & Hub Group (NASDAQ:HUBG)

Hub Group (NASDAQ:HUBG) and Edify Acquisition (NASDAQ:EAC) are both transportation companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, risk, valuation, profitability, analyst recommendations, earnings and dividends.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Hub Group and Edify Acquisition, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hub Group	0	5	5	0	2.50
Edify Acquisition	0	0	0	0	N/A

Hub Group currently has a consensus target price of $99.83, indicating a potential upside of 26.45%. Given Hub Group’s higher probable upside, equities research analysts clearly believe Hub Group is more favorable than Edify Acquisition.

Valuation & Earnings

This table compares Hub Group and Edify Acquisition’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hub Group	$4.83 billion	0.52	$356.95 million	$8.35	9.46
Edify Acquisition	N/A	N/A	$11.12 million	N/A	N/A

Hub Group has higher revenue and earnings than Edify Acquisition.

Risk & Volatility

Hub Group has a beta of 0.94, meaning that its stock price is 6% less volatile than the S&P 500. Comparatively, Edify Acquisition has a beta of 0.03, meaning that its stock price is 97% less volatile than the S&P 500.

Insider and Institutional Ownership

90.8% of Hub Group shares are held by institutional investors. Comparatively, 17.0% of Edify Acquisition shares are held by institutional investors. 2.0% of Hub Group shares are held by insiders. Comparatively, 80.3% of Edify Acquisition shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Hub Group and Edify Acquisition’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hub Group	5.69%	17.22%	9.77%
Edify Acquisition	N/A	-35.65%	3.82%

Summary

Hub Group beats Edify Acquisition on 9 of the 10 factors compared between the two stocks.

About Hub Group

Hub Group, Inc., a supply chain solutions provider, offers transportation and logistics management services in North America. The company's transportation services include intermodal, truckload, less-than-truckload, flatbed, temperature-controlled, and dedicated and regional trucking, as well as final mile, railcar, small parcel, and international transportation. Its logistics services comprise full outsource logistics solution, transportation management, freight consolidation, warehousing and fulfillment, final mile delivery, and parcel and international services. The company also provides dry van, expedited, less-than-truckload, refrigerated, and flatbed truck brokerage services. It offers a fleet of approximately 2,300 tractors, 750 independent owner-operators, and 4,600 trailers to its customers, as well as the management and infrastructure. The company serves a range of industries, including retail, consumer products, and durable goods. As of December 31, 2022, it owned approximately 48,000 dry, 53-foot containers, as well as 750 refrigerated, 53-foot containers; and leased approximately 225 dry, 53-foot containers. The company was founded in 1971 and is headquartered in Oak Brook, Illinois.

About Edify Acquisition

Edify Acquisition Corp. does not have significant operations. It intends to effect a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses. Edify Acquisition Corp. was incorporated in 2020 and is based in New York, New York.