FedEx (NYSE:FDX – Get Free Report) and Addentax Group (NASDAQ:ATXG – Get Free Report) are both industrials companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, analyst recommendations, dividends, risk, valuation, earnings and institutional ownership.
Volatility and Risk
FedEx has a beta of 1.32, suggesting that its share price is 32% more volatile than the S&P 500. Comparatively, Addentax Group has a beta of 0.5, suggesting that its share price is 50% less volatile than the S&P 500.
Analyst Recommendations
This is a summary of current recommendations and price targets for FedEx and Addentax Group, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| FedEx | 2 | 9 | 18 | 1 | 2.60 |
| Addentax Group | 1 | 0 | 0 | 0 | 1.00 |
Earnings and Valuation
This table compares FedEx and Addentax Group”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| FedEx | $94.72 billion | 0.80 | $4.43 billion | $18.51 | 17.24 |
| Addentax Group | $7.98 million | 0.51 | -$4.47 million | ($3.92) | -0.89 |
FedEx has higher revenue and earnings than Addentax Group. Addentax Group is trading at a lower price-to-earnings ratio than FedEx, indicating that it is currently the more affordable of the two stocks.
Insider and Institutional Ownership
84.5% of FedEx shares are owned by institutional investors. Comparatively, 10.1% of Addentax Group shares are owned by institutional investors. 0.7% of FedEx shares are owned by company insiders. Comparatively, 2.7% of Addentax Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.
Profitability
This table compares FedEx and Addentax Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| FedEx | 4.68% | 16.49% | 5.21% |
| Addentax Group | -21.05% | -9.16% | -7.22% |
Summary
FedEx beats Addentax Group on 14 of the 15 factors compared between the two stocks.
About FedEx
FedEx Corporation provides transportation, e-commerce, and business services in the United States and internationally. It operates through FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services segments. The FedEx Express segment offers express transportation, small-package ground delivery, and freight transportation services; and time-critical transportation services. The FedEx Ground segment provides small-package ground delivery services. The FedEx Freight segment offers less-than-truckload freight transportation services. The FedEx Services segment provides sales, marketing, information technology, communications, customer service, technical support, billing and collection, and back-office support services. In addition, the company offers supply chain management solutions; and air and ocean cargo transportation, specialty transportation, customs brokerage, and trade management tools and data. The company was founded in 1971 and is headquartered in Memphis, Tennessee.
About Addentax Group
Addentax Group Corp., together with its subsidiaries, operates as a logistic service provider in China. It operates through three segments: Garment Manufacturing, Logistics Services, and Property Management and Subleasing. The company manufactures and distributes garments; and provides logistic services, such as storage, transportation, warehousing, handling, packaging, and order processing, as well as customs declaration and tax clearance services. It also offers shop subleasing and property management services for garment wholesalers and retailers in the garment market. In addition, the company engages in the building decoration designing business. Addentax Group Corp. is based in Shenzhen, China.
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