Head-To-Head Analysis: Samsara (NYSE:IOT) vs. Cango (NYSE:CANG)

Cango (NYSE:CANG) and Samsara (NYSE:IOT) are both technology companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, risk, dividends, institutional ownership, profitability, valuation and analyst recommendations.

Institutional and Insider Ownership

4.2% of Cango shares are held by institutional investors. Comparatively, 96.0% of Samsara shares are held by institutional investors. 29.1% of Cango shares are held by company insiders. Comparatively, 35.1% of Samsara shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and price targets for Cango and Samsara, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cango	1	1	1	1	2.50
Samsara	1	5	15	1	2.73

Cango currently has a consensus price target of $30.00, indicating a potential upside of 1,024.02%. Samsara has a consensus price target of $52.05, indicating a potential upside of 31.52%. Given Cango’s higher probable upside, equities research analysts plainly believe Cango is more favorable than Samsara.

Risk and Volatility

Cango has a beta of 1.2, suggesting that its share price is 20% more volatile than the S&P 500. Comparatively, Samsara has a beta of 1.35, suggesting that its share price is 35% more volatile than the S&P 500.

Profitability

This table compares Cango and Samsara’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cango	-107.22%	-165.48%	-75.08%
Samsara	4.90%	4.13%	2.35%

Earnings and Valuation

This table compares Cango and Samsara”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cango	$688.08 million	0.07	-$621.95 million	($23.79)	-0.11
Samsara	$1.62 billion	14.25	-$9.12 million	$0.16	247.36

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

Summary

Samsara beats Cango on 13 of the 14 factors compared between the two stocks.

About Cango

Cango Inc. operates an automotive transaction service platform that connects dealers, original equipment manufacturers, financial institutions, car buyers, insurance brokers, and companies in the People's Republic of China. The company offers automobile trading solutions comprising car sourcing, transaction facilitation, logistics, and warehousing support for dealers through Cango Haoche app that offers new car transaction services, and Cango U-Car app that offers used-car transaction services. It also provides automotive financing facilitation services that include facilitating financing transactions from financial institutions to car buyers, which comprises credit origination, credit assessment, credit servicing, and delinquent asset management services; facilitating financing transactions of car purchases for car buyers; and after-market services to car buyers, which includes facilitating the sale of insurance policies from insurance brokers or companies. The company was founded in 2010 and is headquartered in Shanghai, the People's Republic of China.

About Samsara

Samsara Inc. provides solutions that connects physical operations data to its connected operations cloud in the United States and internationally. The company's Connected Operations Cloud includes Data Platform, which ingests, aggregates, and enriches data from its IoT devices and has embedded capabilities for AI, workflows and analytics, alerts, API connections, and data security and privacy. Its applications include video-based safety that enables customers to build a safety program and protect their teams with AI-enabled video; vehicle telematics which provides visibility into real-time vehicle location and diagnostics with GPS tracking, routing and dispatch, fuel efficiency management, electric vehicle usage and charge planning, preventative maintenance, and insights to manage fuel and energy costs; and mobile apps and workflows that improves productivity for frontline workers and enables regulatory compliance for workers to see upcoming jobs, capture electronic documents, perform maintenance inspections, maintain compliance logs, and message with back-office administration. The company also provides equipment monitoring which offers visibility and management of unpowered and powered assets, ranging from generators and compressors to heavy construction equipment and trailers to improve operating efficiency, prevent unplanned downtime, and avoid critical safety and compliance issues; and site visibility that provides remote visibility into sites to improve onsite security, safety, and incident response times. It serves transportation, wholesale and retail trade, construction, field services, logistics, utilities and energy, healthcare and education, manufacturing, food and beverage, and other industries, as well as government. Samsara Inc. was incorporated in 2015 and is headquartered in San Francisco, California.