Analyzing Freight Technologies (NASDAQ:FRGT) & ZTO Express (Cayman) (NYSE:ZTO)

Freight Technologies (NASDAQ:FRGT) and ZTO Express (Cayman) (NYSE:ZTO) are both transportation companies, but which is the superior investment? We will compare the two companies based on the strength of their earnings, risk, valuation, dividends, profitability, analyst recommendations and institutional ownership.

Institutional & Insider Ownership

6.2% of Freight Technologies shares are owned by institutional investors. Comparatively, 41.7% of ZTO Express (Cayman) shares are owned by institutional investors. 9.0% of Freight Technologies shares are owned by insiders. Comparatively, 41.3% of ZTO Express (Cayman) 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.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Freight Technologies	N/A	N/A	N/A
ZTO Express (Cayman)	18.83%	14.44%	9.72%

Analyst Recommendations

This is a breakdown of current ratings and price targets for Freight Technologies and ZTO Express (Cayman), as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Freight Technologies	1	0	0	0	1.00
ZTO Express (Cayman)	0	3	3	1	2.71

ZTO Express (Cayman) has a consensus price target of $22.36, indicating a potential upside of 16.95%. Given ZTO Express (Cayman)’s stronger consensus rating and higher possible upside, analysts plainly believe ZTO Express (Cayman) is more favorable than Freight Technologies.

Volatility & Risk

Freight Technologies has a beta of 1.24, meaning that its stock price is 24% more volatile than the S&P 500. Comparatively, ZTO Express (Cayman) has a beta of -0.2, meaning that its stock price is 120% less volatile than the S&P 500.

Earnings & Valuation

This table compares Freight Technologies and ZTO Express (Cayman)”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Freight Technologies	$13.73 million	0.16	-$5.60 million	($2.90)	-0.28
ZTO Express (Cayman)	$6.07 billion	1.89	$1.21 billion	$1.48	12.92

ZTO Express (Cayman) has higher revenue and earnings than Freight Technologies. Freight Technologies 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.

Summary

ZTO Express (Cayman) beats Freight Technologies on 14 of the 15 factors compared between the two stocks.

About Freight Technologies

Freight Technologies, Inc., through its subsidiary, operates a transportation logistics technology platform for cross-border shipping in the United States and Mexico. Its Fr8App technology platform offers an online portal and a mobile application that provide third-party logistics services to companies in the freight transportation market; a transport management solution for customers to manage their own fleet; and freight brokerage support and customer services based on the platform. The company was incorporated in 2015 and is headquartered in The Woodlands, Texas.

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.