Critical Contrast: ARTISTdirect (OTCMKTS:ARTD) versus Carvana (NYSE:CVNA)

ARTISTdirect (OTCMKTS:ARTD) and Carvana (NYSE:CVNA) are both retail/wholesale companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, valuation, risk, profitability, analyst recommendations, earnings and institutional ownership.

Earnings & Valuation

This table compares ARTISTdirect and Carvana”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ARTISTdirect	N/A	N/A	N/A	N/A	N/A
Carvana	$13.67 billion	6.18	$210.00 million	$3.99	98.47

Carvana has higher revenue and earnings than ARTISTdirect.

Institutional & Insider Ownership

56.7% of Carvana shares are held by institutional investors. 16.4% of Carvana shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares ARTISTdirect and Carvana’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ARTISTdirect	N/A	N/A	N/A
Carvana	3.46%	40.57%	6.60%

Analyst Recommendations

This is a summary of recent recommendations for ARTISTdirect and Carvana, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ARTISTdirect	0	0	0	0	0.00
Carvana	0	6	12	0	2.67

Carvana has a consensus price target of $384.06, suggesting a potential downside of 2.25%. Given ARTISTdirect’s higher probable upside, equities analysts plainly believe ARTISTdirect is more favorable than Carvana.

Summary

Carvana beats ARTISTdirect on 8 of the 9 factors compared between the two stocks.

About ARTISTdirect

ARTISTdirect, Inc. operates an online platform that provides music and recorded labels. It offers multi-media content, music news and information, online fan communities, music related commerce, and digital music services. The company also provides iMusic record labels of rock and urban music. ARTISTdirect, Inc. was founded in 1996 and is based in Santa Monica, California.

About Carvana

Carvana Co., together with its subsidiaries, operates an e-commerce platform for buying and selling used cars in the United States. Its platform allows customers to research and identify a vehicle; inspect it using company's 360-degree vehicle imaging technology; obtain financing and warranty coverage; purchase the vehicle; and schedule delivery or pick-up from their desktop or mobile devices. The company also operates auction sites. The company was founded in 2012 and is based in Tempe, Arizona.