Shengfeng Development (NASDAQ:SFWL) and C.H. Robinson Worldwide (NASDAQ:CHRW) Critical Survey

Shengfeng Development (NASDAQ:SFWL) and C.H. Robinson Worldwide (NASDAQ:CHRW) are both transportation companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, risk, dividends, institutional ownership, earnings, profitability and valuation.

Institutional and Insider Ownership

1.1% of Shengfeng Development shares are held by institutional investors. Comparatively, 93.2% of C.H. Robinson Worldwide shares are held by institutional investors. 1.5% of C.H. Robinson Worldwide shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Shengfeng Development and C.H. Robinson Worldwide’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Shengfeng Development	N/A	N/A	N/A
C.H. Robinson Worldwide	3.64%	34.77%	11.71%

Volatility & Risk

Shengfeng Development has a beta of -2.74, suggesting that its share price is 374% less volatile than the S&P 500. Comparatively, C.H. Robinson Worldwide has a beta of 0.91, suggesting that its share price is 9% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Shengfeng Development and C.H. Robinson Worldwide, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shengfeng Development	1	0	0	0	1.00
C.H. Robinson Worldwide	1	8	16	1	2.65

C.H. Robinson Worldwide has a consensus target price of $149.48, suggesting a potential downside of 7.02%. Given C.H. Robinson Worldwide’s stronger consensus rating and higher probable upside, analysts clearly believe C.H. Robinson Worldwide is more favorable than Shengfeng Development.

Earnings & Valuation

This table compares Shengfeng Development and C.H. Robinson Worldwide”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Shengfeng Development	$504.16 million	0.08	$10.88 million	N/A	N/A
C.H. Robinson Worldwide	$17.72 billion	1.07	$465.69 million	$4.93	32.61

C.H. Robinson Worldwide has higher revenue and earnings than Shengfeng Development.

Summary

C.H. Robinson Worldwide beats Shengfeng Development on 13 of the 13 factors compared between the two stocks.

About Shengfeng Development

Shengfeng Development Limited, through its subsidiaries, provides contract logistics services in the People's Republic of China. The company offers business-to-business freight transportation services, such as full truckload and less than truckload; and cloud storage services, including warehouse management, order fulfillment, delivery process management, in-warehouse processing, and inventory optimization management services. It also provides value-added services comprising collection on delivery, customs declaration, delivery upstairs, packaging, pay-at-arrival, return proof of delivery, and shipment protection. The company serves clients in various industries, including manufacturing, energy, telecommunications, internet, fashion, fast moving consumer goods, publishing, agriculture, and e-commerce. Shengfeng Development Limited was founded in 2001 and is based in Fuzhou, the People's Republic of China.

About C.H. Robinson Worldwide

C.H. Robinson Worldwide, Inc., together with its subsidiaries, provides freight transportation services, and related logistics and supply chain services in the United States and internationally. It operates through two segments: North American Surface Transportation and Global Forwarding. The company offers transportation and logistics services, such as truckload, less than truckload transportation brokerage services, which include the shipment of single or multiple pallets of freight; intermodal transportation that comprises the shipment service of freight in containers or trailers by a combination of truck and rail; and non-vessel operating common carrier and freight forwarding services, as well as organizes air shipments and provides door-to-door services. It also provides customs brokerage services; and other logistics services, such as fee-based managed, warehousing, small parcel, and other services. It has contractual relationships with approximately 45,000 transportation companies, including motor carriers, railroads, and ocean and air carriers. In addition, the company is involved in the buying, selling, and/or marketing of fresh fruits, vegetables, and other value-added perishable items under the Robinson Fresh brand name. Further, the company offers transportation management services or managed TMS; and other surface transportation services. It provides its fresh produce to grocery retailers, restaurants, produce wholesalers, and foodservice distributors through a network of independent produce growers and suppliers. The company was founded in 1905 and is headquartered in Eden Prairie, Minnesota.