Reviewing NextMart (OTCMKTS:NXMR) & Trip.com Group (NASDAQ:TCOM)

Trip.com Group (NASDAQ:TCOM) and NextMart (OTCMKTS:NXMR) are both consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, institutional ownership, dividends, analyst recommendations, profitability, risk and earnings.

Profitability

This table compares Trip.com Group and NextMart’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Trip.com Group	31.86%	12.04%	6.70%
NextMart	N/A	N/A	N/A

Risk and Volatility

Trip.com Group has a beta of 0.12, meaning that its stock price is 88% less volatile than the S&P 500. Comparatively, NextMart has a beta of -1.01, meaning that its stock price is 201% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and target prices for Trip.com Group and NextMart, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Trip.com Group	0	0	10	1	3.09
NextMart	0	0	0	0	0.00

Trip.com Group presently has a consensus target price of $77.08, suggesting a potential upside of 36.50%. Given Trip.com Group’s stronger consensus rating and higher possible upside, research analysts clearly believe Trip.com Group is more favorable than NextMart.

Earnings & Valuation

This table compares Trip.com Group and NextMart”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Trip.com Group	$53.29 billion	0.68	$1.40 billion	$3.49	16.18
NextMart	N/A	N/A	N/A	N/A	N/A

Trip.com Group has higher revenue and earnings than NextMart.

Insider and Institutional Ownership

35.4% of Trip.com Group shares are held by institutional investors. 23.0% of Trip.com Group shares are held by company insiders. Comparatively, 56.4% of NextMart shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

Trip.com Group beats NextMart on 10 of the 11 factors compared between the two stocks.

About Trip.com Group

Trip.com Group Limited, through its subsidiaries, operates as a travel service provider for accommodation reservation, transportation ticketing, packaged tours and in-destination, corporate travel management, and other travel-related services in China and internationally. The company acts as an agent for hotel-related transactions and selling air tickets, as well as provides train, long-distance bus, and ferry tickets; travel insurance products, such as flight delay, air accident, and baggage loss coverage; and air-ticket delivery, online check-in and seat selection, express security screening, real-time flight status tracker, and airport VIP lounge services. It also provides independent leisure travelers bundled packaged-tour products comprising group, semi-group, and customized and packaged tours with various transportation arrangements, including air, cruise, bus, and car rental services. In addition, the company offers integrated transportation and accommodation services; destination transportation and ticket, activity, insurance, visa, and tour guide services; user support, supplier management, and customer relationship management services; and in-destination products and services. Further, It provides its corporate clients with business visit, incentive trip, meeting and conference, travel data collection and analysis, and industry benchmarking solutions; and Corporate Travel Management System, an online platform that integrates information management, online booking and authorization, online inquiry, and travel reporting systems. Additionally, the company offers online advertising and financial services, such as marketing planning and travel media services. It operates under the Ctrip, Qunar, Trip.com, and Skyscanner brands. The company was formerly known as Ctrip.com International, Ltd. and changed its name to Trip.com Group Limited in October 2019. Trip.com Group Limited was founded in 1999 and is based in Singapore.

About NextMart

NextMart, Inc. does not have significant operations. Previously, it was involved in the art event and art media direct marketing; art-themed products design and marketing; and art themed real estate development businesses. The company was incorporated in 1972 and is based in Scottsdale, Arizona.