Critical Survey: America’s Car-Mart (NASDAQ:CRMT) vs. Lazydays (NASDAQ:GORV)

Lazydays (NASDAQ:GORVGet Free Report) and America’s Car-Mart (NASDAQ:CRMTGet Free Report) are both small-cap consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, institutional ownership, dividends, valuation, analyst recommendations, earnings and risk.

Risk and Volatility

Lazydays has a beta of 2.12, meaning that its stock price is 112% more volatile than the S&P 500. Comparatively, America’s Car-Mart has a beta of 1.64, meaning that its stock price is 64% more volatile than the S&P 500.

Valuation and Earnings

This table compares Lazydays and America’s Car-Mart”s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Lazydays $920.77 million 0.01 -$110.27 million ($13.85) -0.04
America’s Car-Mart $1.36 billion 0.27 -$31.39 million ($0.82) -54.32

America’s Car-Mart has higher revenue and earnings than Lazydays. America’s Car-Mart is trading at a lower price-to-earnings ratio than Lazydays, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Lazydays and America’s Car-Mart’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Lazydays -20.83% -62.37% -8.53%
America’s Car-Mart -0.29% -2.26% -0.73%

Analyst Recommendations

This is a summary of recent ratings and target prices for Lazydays and America’s Car-Mart, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Lazydays 0 2 0 0 2.00
America’s Car-Mart 1 1 0 1 2.33

Lazydays presently has a consensus price target of $2.00, suggesting a potential upside of 300.80%. America’s Car-Mart has a consensus price target of $50.00, suggesting a potential upside of 12.26%. Given Lazydays’ higher possible upside, research analysts clearly believe Lazydays is more favorable than America’s Car-Mart.

Insider and Institutional Ownership

89.7% of Lazydays shares are held by institutional investors. Comparatively, 89.1% of America’s Car-Mart shares are held by institutional investors. 0.5% of Lazydays shares are held by company insiders. Comparatively, 19.6% of America’s Car-Mart shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

America’s Car-Mart beats Lazydays on 10 of the 14 factors compared between the two stocks.

About Lazydays

(Get Free Report)

Lazydays Holdings, Inc. operates recreational vehicle (RV) dealerships under the Lazydays name in the United States. The company offers RV sales, RV-repair and services, financing and insurance products, third-party protection plans, and after-market parts and accessories. It also operates the Lazydays RV resort at Tampa, Florida. The company was founded in 1976 and is based in Tampa, Florida.

About America’s Car-Mart

(Get Free Report)

America’s Car-Mart, Inc., through its subsidiaries, operates as an automotive retailer for the used car market in the United States. It primarily sells older model used vehicles and provides financing for its customers. The company was founded in 1981 and is headquartered in Rogers, Arkansas.

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