Chewy (NYSE:CHWY) vs. Expedia Group (NASDAQ:EXPE) Head-To-Head Review

Chewy (NYSE:CHWY) and Expedia Group (NASDAQ:EXPE) are both large-cap retail/wholesale companies, but which is the better business? We will compare the two companies based on the strength of their profitability, risk, institutional ownership, earnings, valuation, dividends and analyst recommendations.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Chewy and Expedia Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chewy	0	7	17	1	2.76
Expedia Group	1	18	11	3	2.48

Chewy currently has a consensus price target of $43.78, indicating a potential upside of 6.43%. Expedia Group has a consensus price target of $205.63, indicating a potential downside of 5.03%. Given Chewy’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Chewy is more favorable than Expedia Group.

Institutional and Insider Ownership

93.1% of Chewy shares are owned by institutional investors. Comparatively, 90.8% of Expedia Group shares are owned by institutional investors. 0.4% of Chewy shares are owned by company insiders. Comparatively, 9.1% of Expedia Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Chewy and Expedia Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chewy	3.21%	35.04%	3.89%
Expedia Group	7.94%	56.25%	5.56%

Volatility and Risk

Chewy has a beta of 1.65, suggesting that its stock price is 65% more volatile than the S&P 500. Comparatively, Expedia Group has a beta of 1.57, suggesting that its stock price is 57% more volatile than the S&P 500.

Earnings & Valuation

This table compares Chewy and Expedia Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Chewy	$11.86 billion	1.44	$392.74 million	$0.89	46.22
Expedia Group	$13.69 billion	1.96	$1.23 billion	$8.16	26.53

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

Summary

Expedia Group beats Chewy on 9 of the 15 factors compared between the two stocks.

About Chewy

Chewy, Inc., together with its subsidiaries, engages in the pure play e-commerce business in the United States. It provides pet food and treats, pet supplies and pet medications, and other pet-health products, as well as pet services for dogs, cats, fish, birds, small pets, horses, and reptiles through its retail websites and mobile applications. The company was founded in 2010 and is based in Plantation, Florida.

About Expedia Group

Expedia Group, Inc. operates as an online travel company in the United States and internationally. The company operates through B2C, B2B, and trivago segments. Its B2C segment includes Brand Expedia, a full-service online travel brand offers various travel products and services; Hotels.com for lodging accommodations; Vrbo, an online marketplace for the alternative accommodations; Orbitz, Travelocity, Wotif Group, ebookers, CheapTickets, Hotwire.com and CarRentals.com. The company's B2B segment provides various travel and non-travel companies including airlines, offline travel agents, online retailers, corporate travel management, and financial institutions who leverage its travel technology and tap into its diverse supply to augment their offerings and market Expedia Group rates and availabilities to its travelers. Its trivago segment, a hotel metasearch website, which send referrals to online travel companies and travel service providers from hotel metasearch websites. In addition, the company provides brand advertising through online and offline channels, loyalty programs, mobile apps, and search engine marketing, as well as metasearch, social media, direct and personalized traveler communications on its websites, and through direct e-mail communication with its travelers. The company was formerly known as Expedia, Inc. and changed its name to Expedia Group, Inc. in March 2018. Expedia Group, Inc. was founded in 1996 and is headquartered in Seattle, Washington.