Financial Analysis: LMP Automotive (OTCMKTS:LMPX) versus Maplebear (NASDAQ:CART)

LMP Automotive (OTCMKTS:LMPX) and Maplebear (NASDAQ:CART) are both retail/wholesale companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, valuation, analyst recommendations, institutional ownership, profitability and dividends.

Analyst Ratings

This is a summary of current recommendations and price targets for LMP Automotive and Maplebear, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LMP Automotive	0	0	0	0	0.00
Maplebear	2	9	15	1	2.56

Maplebear has a consensus target price of $51.29, indicating a potential upside of 21.63%. Given Maplebear’s stronger consensus rating and higher probable upside, analysts clearly believe Maplebear is more favorable than LMP Automotive.

Volatility and Risk

LMP Automotive has a beta of 0.29, suggesting that its share price is 71% less volatile than the S&P 500. Comparatively, Maplebear has a beta of 0.88, suggesting that its share price is 12% less volatile than the S&P 500.

Institutional & Insider Ownership

63.1% of Maplebear shares are owned by institutional investors. 38.7% of LMP Automotive shares are owned by insiders. Comparatively, 24.0% of Maplebear shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares LMP Automotive and Maplebear”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
LMP Automotive	N/A	N/A	N/A	N/A	N/A
Maplebear	$3.74 billion	2.67	$447.00 million	$1.59	26.52

Maplebear has higher revenue and earnings than LMP Automotive.

Profitability

This table compares LMP Automotive and Maplebear’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
LMP Automotive	N/A	N/A	N/A
Maplebear	11.89%	16.28%	11.95%

Summary

Maplebear beats LMP Automotive on 10 of the 11 factors compared between the two stocks.

About LMP Automotive

LMP Automotive Holdings, Inc., through its subsidiaries, buys, sells, rents and subscribes for, and obtains financing for automobiles online and in person in the United States. It primarily buys pre-owned automobiles primarily through auctions or directly from other automobile dealers, as well as new automobiles from manufacturers and distributors at fleet rates. The company was incorporated in 2017 and is headquartered in Fort Lauderdale, Florida.

About Maplebear

Maplebear Inc., doing business as Instacart, engages in the provision of online grocery shopping services to households in North America. It sells and delivers grocery products, as well as pickup services through a mobile application and website. It also operates virtual convenience stores; and provides software-as-a-service solutions to retailers. The company was incorporated in 2012 and is based in San Francisco, California.