NaaS Technology (NASDAQ:NAAS) vs. Chewy (NYSE:CHWY) Critical Survey

NaaS Technology (NASDAQ:NAAS) and Chewy (NYSE:CHWY) are both consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, valuation, institutional ownership, analyst recommendations, dividends, earnings and profitability.

Risk & Volatility

NaaS Technology has a beta of 0.77, meaning that its share price is 23% less volatile than the S&P 500. Comparatively, Chewy has a beta of 1.42, meaning that its share price is 42% more volatile than the S&P 500.

Earnings and Valuation

This table compares NaaS Technology and Chewy”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NaaS Technology	$17.89 million	2.89	-$62.77 million	($87.84)	-0.03
Chewy	$12.84 billion	0.75	$222.80 million	$0.60	39.30

Chewy has higher revenue and earnings than NaaS Technology. NaaS Technology is trading at a lower price-to-earnings ratio than Chewy, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings for NaaS Technology and Chewy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NaaS Technology	1	0	0	0	1.00
Chewy	0	7	18	1	2.77

Chewy has a consensus price target of $31.27, suggesting a potential upside of 32.62%. Given Chewy’s stronger consensus rating and higher possible upside, analysts plainly believe Chewy is more favorable than NaaS Technology.

Profitability

This table compares NaaS Technology and Chewy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NaaS Technology	N/A	N/A	N/A
Chewy	1.99%	60.02%	8.17%

Institutional and Insider Ownership

1.8% of NaaS Technology shares are held by institutional investors. Comparatively, 93.1% of Chewy shares are held by institutional investors. 18.0% of NaaS Technology shares are held by insiders. Comparatively, 0.3% of Chewy shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Chewy beats NaaS Technology on 13 of the 15 factors compared between the two stocks.

About NaaS Technology

NaaS Technology Inc. provides electric vehicle (EV) charging services in China. The company offers integrated online EV charging solutions to charging stations, including mobility connectivity services through Kuaidian; SaaS products, such as traffic support and management, marketing, payment, chargers’ management, order management, load management, and membership management. It also provides offline EV charging solutions comprising site selection, hardware procurement, engineering, procurement, and construction, station maintenance, energy storage, and customer support services. In addition, the company offers electricity procurement services to charging stations, as well as other amenities and ancillary services, such as vending machines, massage chairs, and car wash tunnels. It serves charger manufacturers, EV OEMS, and end-users. NaaS Technology Inc. is headquartered in Beijing, China.

About Chewy

Chewy, Inc., together with its subsidiaries, engages in the pure play e-commerce business in the United States. It provides pet food and treats, pet supplies and pet medications, and other pet-health products, as well as pet services for dogs, cats, fish, birds, small pets, horses, and reptiles through its retail websites and mobile applications. The company was founded in 2010 and is based in Plantation, Florida.