Head-To-Head Analysis: ZTO Express (Cayman) (NYSE:ZTO) vs. Armlogi (NASDAQ:BTOC)

Armlogi (NASDAQ:BTOC) and ZTO Express (Cayman) (NYSE:ZTO) are both industrials companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, earnings, profitability, risk, analyst recommendations, valuation and dividends.

Volatility and Risk

Armlogi has a beta of 2.9, indicating that its stock price is 190% more volatile than the S&P 500. Comparatively, ZTO Express (Cayman) has a beta of -0.19, indicating that its stock price is 119% less volatile than the S&P 500.

Earnings and Valuation

This table compares Armlogi and ZTO Express (Cayman)”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Armlogi	$185.84 million	0.03	-$20.88 million	($7.36)	-0.30
ZTO Express (Cayman)	$7.02 billion	1.60	$1.30 billion	$1.86	10.85

ZTO Express (Cayman) has higher revenue and earnings than Armlogi. Armlogi is trading at a lower price-to-earnings ratio than ZTO Express (Cayman), indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Armlogi and ZTO Express (Cayman)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Armlogi	-11.23%	-133.87%	-14.30%
ZTO Express (Cayman)	19.03%	15.90%	10.89%

Insider and Institutional Ownership

41.6% of ZTO Express (Cayman) shares are held by institutional investors. 66.8% of Armlogi shares are held by company insiders. Comparatively, 41.3% of ZTO Express (Cayman) shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and price targets for Armlogi and ZTO Express (Cayman), as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Armlogi	1	0	0	0	1.00
ZTO Express (Cayman)	0	4	1	1	2.50

ZTO Express (Cayman) has a consensus price target of $24.70, indicating a potential upside of 22.40%. Given ZTO Express (Cayman)’s stronger consensus rating and higher possible upside, analysts plainly believe ZTO Express (Cayman) is more favorable than Armlogi.

Summary

ZTO Express (Cayman) beats Armlogi on 13 of the 15 factors compared between the two stocks.

About Armlogi

Armlogi Holding Corp. is a warehousing and logistics service provider which offers a comprehensive package of supply-chain solutions related to warehouse management and order fulfillment. Armlogi Holding Corp. is based in WALNUT, CA.

About ZTO Express (Cayman)

ZTO Express (Cayman) Inc. provides express delivery and other value-added logistics services in the People's Republic of China. It offers freight forwarding services; and delivery services for e-commerce and traditional merchants, and other express service users. The company was founded in 2002 and is headquartered in Shanghai, the People's Republic of China.