Analyzing CBIZ (NYSE:CBZ) and Grab (NASDAQ:GRAB)
by Doug Wharley · The Cerbat GemCBIZ (NYSE:CBZ – Get Free Report) and Grab (NASDAQ:GRAB – Get Free Report) are both business services companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, dividends, profitability, analyst recommendations, institutional ownership and risk.
Profitability
This table compares CBIZ and Grab’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
CBIZ | 7.12% | 14.58% | 5.78% |
Grab | -8.24% | -3.35% | -2.50% |
Earnings & Valuation
This table compares CBIZ and Grab”s gross revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
CBIZ | $1.65 billion | 2.03 | $120.97 million | $2.47 | 27.05 |
Grab | $2.58 billion | 5.85 | -$434.00 million | ($0.07) | -55.00 |
CBIZ has higher earnings, but lower revenue than Grab. Grab is trading at a lower price-to-earnings ratio than CBIZ, indicating that it is currently the more affordable of the two stocks.
Insider & Institutional Ownership
87.4% of CBIZ shares are owned by institutional investors. Comparatively, 55.5% of Grab shares are owned by institutional investors. 5.4% of CBIZ shares are owned by insiders. Comparatively, 3.6% of Grab shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.
Analyst Ratings
This is a breakdown of current ratings for CBIZ and Grab, as provided by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
CBIZ | 0 | 0 | 1 | 0 | 3.00 |
Grab | 0 | 0 | 7 | 0 | 3.00 |
CBIZ presently has a consensus price target of $86.00, suggesting a potential upside of 28.70%. Grab has a consensus price target of $4.71, suggesting a potential upside of 22.45%. Given CBIZ’s higher probable upside, equities analysts clearly believe CBIZ is more favorable than Grab.
Risk and Volatility
CBIZ has a beta of 0.92, meaning that its share price is 8% less volatile than the S&P 500. Comparatively, Grab has a beta of 0.81, meaning that its share price is 19% less volatile than the S&P 500.
Summary
CBIZ beats Grab on 10 of the 13 factors compared between the two stocks.
About CBIZ
CBIZ, Inc. provides financial, insurance, and advisory services in the United States and Canada. It operates through Financial Services, Benefits and Insurance Services, and National Practices segments. The Financial Services segment offers accounting and tax, financial advisory, valuation, risk and advisory, and government healthcare consulting services. The Benefits and Insurance Services provides employee benefits consulting, payroll/human capital management, property and casualty insurance, and retirement and investment services. The National Practices segment offers information technology managed networking and hardware, and health care consulting services. The company primarily serves small and medium-sized businesses, as well as individuals, governmental entities, and not-for-profit enterprises. CBIZ, Inc. was incorporated in 1987 and is headquartered in Independence, Ohio.
About Grab
Grab Holdings Limited engages in the provision of superapps in Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam. The company offers its Grab ecosystem, a single platform with superapps for driver- and merchant-partners and consumers, that allows access to mobility, delivery, digital financial services, and enterprise sector offerings. Grab Holdings Limited is headquartered in Singapore.