Amazon.com (NASDAQ:AMZN – Get Free Report) and Global-e Online (NASDAQ:GLBE – Get Free Report) are both retail/wholesale companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, analyst recommendations, earnings, risk, profitability, valuation and institutional ownership.
Insider & Institutional Ownership
72.2% of Amazon.com shares are owned by institutional investors. Comparatively, 94.6% of Global-e Online shares are owned by institutional investors. 9.7% of Amazon.com shares are owned by company insiders. Comparatively, 11.6% of Global-e Online shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.
Volatility and Risk
Amazon.com has a beta of 1.33, suggesting that its stock price is 33% more volatile than the S&P 500. Comparatively, Global-e Online has a beta of 1.26, suggesting that its stock price is 26% more volatile than the S&P 500.
Valuation & Earnings
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Amazon.com | $637.96 billion | 3.61 | $59.25 billion | $6.14 | 35.36 |
Global-e Online | $752.76 million | 7.32 | -$75.55 million | ($0.36) | -90.17 |
Amazon.com has higher revenue and earnings than Global-e Online. Global-e Online is trading at a lower price-to-earnings ratio than Amazon.com, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Amazon.com and Global-e Online’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Amazon.com | 10.14% | 24.14% | 10.90% |
Global-e Online | -7.70% | -6.96% | -5.17% |
Analyst Recommendations
This is a breakdown of recent ratings and price targets for Amazon.com and Global-e Online, as reported by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Amazon.com | 0 | 3 | 44 | 0 | 2.94 |
Global-e Online | 1 | 0 | 12 | 0 | 2.85 |
Amazon.com presently has a consensus target price of $245.64, suggesting a potential upside of 13.13%. Global-e Online has a consensus target price of $48.00, suggesting a potential upside of 47.87%. Given Global-e Online’s higher probable upside, analysts plainly believe Global-e Online is more favorable than Amazon.com.
Summary
Amazon.com beats Global-e Online on 10 of the 14 factors compared between the two stocks.
About Amazon.com
Amazon.com, Inc. engages in the retail sale of consumer products, advertising, and subscriptions service through online and physical stores in North America and internationally. The company operates through three segments: North America, International, and Amazon Web Services (AWS). It also manufactures and sells electronic devices, including Kindle, Fire tablets, Fire TVs, Echo, Ring, Blink, and eero; and develops and produces media content. In addition, the company offers programs that enable sellers to sell their products in its stores; and programs that allow authors, independent publishers, musicians, filmmakers, Twitch streamers, skill and app developers, and others to publish and sell content. Further, it provides compute, storage, database, analytics, machine learning, and other services, as well as advertising services through programs, such as sponsored ads, display, and video advertising. Additionally, the company offers Amazon Prime, a membership program. The company's products offered through its stores include merchandise and content purchased for resale and products offered by third-party sellers. It serves consumers, sellers, developers, enterprises, content creators, advertisers, and employees. Amazon.com, Inc. was incorporated in 1994 and is headquartered in Seattle, Washington.
About Global-e Online
Global-E Online Ltd., together with its subsidiaries, provides a platform to enable and accelerate direct-to-consumer cross-border e-commerce in Israel, the United Kingdom, the United States, and internationally. Its platform enables international shoppers to buy online and merchants to sell from, and to, worldwide. The company was incorporated in 2013 and is headquartered in Petah Tikva, Israel.
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