Western Union (NYSE:WU – Get Free Report) and Freightos (NASDAQ:CRGO – Get Free Report) are both business services companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, risk, institutional ownership, profitability and dividends.
Profitability
This table compares Western Union and Freightos’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Western Union | 10.88% | 55.94% | 6.39% |
| Freightos | -65.65% | -44.81% | -30.10% |
Volatility & Risk
Western Union has a beta of 0.46, meaning that its share price is 54% less volatile than the S&P 500. Comparatively, Freightos has a beta of 0.28, meaning that its share price is 72% less volatile than the S&P 500.
Institutional and Insider Ownership
Analyst Ratings
This is a summary of current ratings and recommmendations for Western Union and Freightos, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Western Union | 6 | 7 | 0 | 0 | 1.54 |
| Freightos | 1 | 0 | 1 | 0 | 2.00 |
Western Union presently has a consensus target price of $8.82, suggesting a potential upside of 17.11%. Freightos has a consensus target price of $3.00, suggesting a potential upside of 112.77%. Given Freightos’ stronger consensus rating and higher possible upside, analysts clearly believe Freightos is more favorable than Western Union.
Valuation and Earnings
This table compares Western Union and Freightos”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Western Union | $4.05 billion | 0.58 | $499.60 million | $1.36 | 5.54 |
| Freightos | $29.46 million | 2.46 | -$17.52 million | ($0.39) | -3.62 |
Western Union has higher revenue and earnings than Freightos. Freightos is trading at a lower price-to-earnings ratio than Western Union, indicating that it is currently the more affordable of the two stocks.
Summary
Western Union beats Freightos on 9 of the 14 factors compared between the two stocks.
About Western Union
The Western Union Company provides money movement and payment services worldwide. The company operates through Consumer Money Transfer and Consumer Services segments. The Consumer Money Transfer segment facilitates money transfers for international cross-border and intra-country transfers, primarily through a network of retail agent locations, as well as through websites and mobile devices. The Consumer Services segments offers bill payment services, which facilitate payments for consumers, businesses, and other organizations, as well as money order services, retail foreign exchange services, prepaid cards, lending partnerships, and digital wallets. The company was founded in 1851 and is headquartered in Denver, Colorado.
About Freightos
Freightos Limited, together with its subsidiaries, operates a vendor-neutral booking and payment platform for international freight. It operates WebCargo, a platform for connecting carriers and forwarders; and Freightos.com, a platform for connecting service providers to importers/exporters. The company also offers software-as-a-service solutions, such as WebCargo Air for airline rates and ebookings; WebCargo AcceleRate, a multi-modal rate repository; data services; and WebCargo Airline Control Panel that enables airlines to control bookings and optimize pricing with real-time booking analytics. In addition, it provides digital customs brokerage services. The company is based in Jerusalem, Israel.
Receive News & Ratings for Western Union Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Western Union and related companies with MarketBeat.com's FREE daily email newsletter.
