Reviewing eBay (NASDAQ:EBAY) and Ocado Group (OTCMKTS:OCDDY)

eBay (NASDAQ:EBAY) and Ocado Group (OTCMKTS:OCDDY) are both retail/wholesale companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, valuation, risk, earnings, profitability, institutional ownership and analyst recommendations.

Analyst Ratings

This is a summary of current ratings for eBay and Ocado Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
eBay	2	20	14	1	2.38
Ocado Group	0	0	0	0	0.00

eBay presently has a consensus target price of $94.47, suggesting a potential upside of 3.95%. Given eBay’s stronger consensus rating and higher possible upside, equities research analysts plainly believe eBay is more favorable than Ocado Group.

Risk & Volatility

eBay has a beta of 1.35, meaning that its stock price is 35% more volatile than the S&P 500. Comparatively, Ocado Group has a beta of 2.15, meaning that its stock price is 115% more volatile than the S&P 500.

Profitability

This table compares eBay and Ocado Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
eBay	20.37%	41.94%	11.09%
Ocado Group	N/A	N/A	N/A

Valuation & Earnings

This table compares eBay and Ocado Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
eBay	$10.71 billion	3.83	$1.98 billion	$4.60	19.76
Ocado Group	$1.55 billion	1.94	-$429.66 million	N/A	N/A

eBay has higher revenue and earnings than Ocado Group.

Institutional and Insider Ownership

87.5% of eBay shares are owned by institutional investors. 0.6% of eBay shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

eBay beats Ocado Group on 12 of the 13 factors compared between the two stocks.

About eBay

eBay Inc., together with its subsidiaries, operates marketplace platforms that connect buyers and sellers in the United States, the United Kingdom, China, Germany, and internationally. The company’s marketplace platform includes its online marketplace at ebay.com, off-platform businesses, and the eBay suite of mobile apps. Its platforms enable users to list, sell, and buy various products. The company was founded in 1995 and is headquartered in San Jose, California.

About Ocado Group

Ocado Group plc, together with its subsidiaries, operates as an online grocery retailer in the United Kingdom and internationally. The company operates in three segments: Technology Solutions, Ocado Logistics, and Ocado Retail. It offers online grocery and general merchandise; and customer fulfillment centers and logistics services. The company is involved in the software and robotics platform business that provides the Ocado Smart Platform as a managed service, as well as offers Ocado Intelligent Automation that sells its technology to warehouse environments in non-grocery markets. In addition, the company provides online retail and automated storage and retrieval solutions for general merchandise to corporations. Ocado Group plc was founded in 2000 and is headquartered in Hatfield, the United Kingdom.