Head to Head Review: Openlane (OPLN) vs. The Competition

Openlane (NYSE:OPLN) is one of 355 public companies in the “Commercial Services & Supplies” industry, but how does it contrast to its rivals? We will compare Openlane to similar companies based on the strength of its valuation, risk, analyst recommendations, dividends, profitability, earnings and institutional ownership.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Openlane and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Openlane	0	2	4	1	2.86
Openlane Competitors	1850	6125	9016	660	2.48

Openlane currently has a consensus price target of $43.83, suggesting a potential upside of 25.70%. As a group, “Commercial Services & Supplies” companies have a potential upside of 11.39%. Given Openlane’s stronger consensus rating and higher possible upside, analysts clearly believe Openlane is more favorable than its rivals.

Profitability

This table compares Openlane and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Openlane	9.67%	12.81%	3.62%
Openlane Competitors	-59.02%	-118.76%	-1.30%

Valuation & Earnings

This table compares Openlane and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Openlane	$1.93 billion	$177.70 million	-41.02
Openlane Competitors	$2.41 billion	$139.00 million	17.10

Openlane’s rivals have higher revenue, but lower earnings than Openlane. Openlane is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

Openlane has a beta of 1.26, indicating that its stock price is 26% more volatile than the S&P 500. Comparatively, Openlane’s rivals have a beta of 2.42, indicating that their average stock price is 142% more volatile than the S&P 500.

Institutional and Insider Ownership

99.8% of Openlane shares are owned by institutional investors. Comparatively, 39.6% of shares of all “Commercial Services & Supplies” companies are owned by institutional investors. 2.2% of Openlane shares are owned by company insiders. Comparatively, 16.7% of shares of all “Commercial Services & Supplies” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Openlane beats its rivals on 9 of the 13 factors compared.

About Openlane

OPENLANE Inc. provides sellers and buyers across the wholesale used vehicle industry with technology-driven remarketing solutions. The company’s end-to-end platform supports whole car, financing, logistics and other ancillary and related services. OPENLANE Inc., formerly known as KAR Auction Services Inc., is based in CARMEL, Ind.