Critical Comparison: D-MARKET Electronic Services & Trading (NASDAQ:HEPS) & LMP Automotive (OTCMKTS:LMPX)

LMP Automotive (OTCMKTS:LMPX) and D-MARKET Electronic Services & Trading (NASDAQ:HEPS) are both retail/wholesale companies, but which is the superior stock? We will contrast the two companies based on the strength of their dividends, analyst recommendations, institutional ownership, valuation, earnings, profitability and risk.

Profitability

This table compares LMP Automotive and D-MARKET Electronic Services & Trading’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
D-MARKET Electronic Services & Trading	-5.42%	-113.69%	-10.63%

Earnings & Valuation

This table compares LMP Automotive and D-MARKET Electronic Services & Trading”s gross revenue, earnings per share 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
D-MARKET Electronic Services & Trading	$1.74 billion	0.42	-$48.95 million	($0.25)	-9.00

LMP Automotive has higher earnings, but lower revenue than D-MARKET Electronic Services & Trading.

Insider and Institutional Ownership

40.5% of D-MARKET Electronic Services & Trading shares are owned by institutional investors. 38.7% of LMP Automotive shares are owned by insiders. Comparatively, 36.3% of D-MARKET Electronic Services & Trading shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for LMP Automotive and D-MARKET Electronic Services & Trading, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LMP Automotive	0	0	0	0	0.00
D-MARKET Electronic Services & Trading	1	3	0	0	1.75

D-MARKET Electronic Services & Trading has a consensus price target of $3.29, indicating a potential upside of 46.00%. Given D-MARKET Electronic Services & Trading’s stronger consensus rating and higher possible upside, analysts plainly believe D-MARKET Electronic Services & Trading is more favorable than LMP Automotive.

Volatility and Risk

LMP Automotive has a beta of 0.42, indicating that its share price is 58% less volatile than the S&P 500. Comparatively, D-MARKET Electronic Services & Trading has a beta of 2.3, indicating that its share price is 130% more volatile than the S&P 500.

Summary

D-MARKET Electronic Services & Trading beats LMP Automotive on 5 of the 9 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 D-MARKET Electronic Services & Trading

D-Market Elektronik Hizmetler ve Ticaret A.S. operates e-commerce platforms in Turkey. The company operates www.hepsiburada.com, a retail website that provides its retail customers a range of merchandise, including electronics and non-electronics products, such as books, sports, toys, kids and baby products, cosmetics, furniture, etc. It also offers Hepsiburada Market, an app-in-app initiative and on-demand delivery service that delivers groceries and water; HepsiJet that provides last-mile delivery services; HepsiLojistik, which offers storage and fulfillment services; HepsiMat, an offline network of pick-up and drop-off point; HepsiAd that provides advertising service; HepsiGlobal for discovering and purchasing products from international merchants online; Hepsipay, which offers an e-money and payment services; and Hepsiburada Seyahat for buying airline tickets online. The company was incorporated in 2000 and is headquartered in Istanbul, Turkey.