Comparing Schneider National (NYSE:SNDR) & Avis Budget Group (NASDAQ:CAR)

Avis Budget Group (NASDAQ:CAR) and Schneider National (NYSE:SNDR) are both mid-cap transportation companies, but which is the superior business? We will compare the two companies based on the strength of their risk, profitability, dividends, institutional ownership, valuation, earnings and analyst recommendations.

Insider & Institutional Ownership

96.4% of Avis Budget Group shares are held by institutional investors. Comparatively, 28.5% of Schneider National shares are held by institutional investors. 50.5% of Avis Budget Group shares are held by company insiders. Comparatively, 23.6% of Schneider National shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility and Risk

Avis Budget Group has a beta of 1.87, indicating that its stock price is 87% more volatile than the S&P 500. Comparatively, Schneider National has a beta of 1.17, indicating that its stock price is 17% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Avis Budget Group and Schneider National, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Avis Budget Group	4	6	0	0	1.60
Schneider National	0	10	6	0	2.38

Avis Budget Group presently has a consensus target price of $129.63, indicating a potential downside of 29.20%. Schneider National has a consensus target price of $32.69, indicating a potential downside of 8.73%. Given Schneider National’s stronger consensus rating and higher possible upside, analysts clearly believe Schneider National is more favorable than Avis Budget Group.

Profitability

This table compares Avis Budget Group and Schneider National’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Avis Budget Group	-5.68%	N/A	-0.47%
Schneider National	1.73%	3.45%	2.12%

Earnings & Valuation

This table compares Avis Budget Group and Schneider National”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Avis Budget Group	$11.65 billion	0.56	-$889.00 million	($19.05)	-9.61
Schneider National	$5.67 billion	1.11	$103.60 million	$0.56	63.97

Schneider National has lower revenue, but higher earnings than Avis Budget Group. Avis Budget Group is trading at a lower price-to-earnings ratio than Schneider National, indicating that it is currently the more affordable of the two stocks.

Summary

Schneider National beats Avis Budget Group on 10 of the 14 factors compared between the two stocks.

About Avis Budget Group

Avis Budget Group, Inc. engages in the provision of vehicle sharing and rental services. It operates through the following segments: Americas, International, and Corporate and Other. The Americas segment includes the vehicle rental and car sharing operations in North America, South America, Central America, and the Caribbean. The International segment is involved in the vehicle rental and car sharing operations in Europe, the Middle East, Africa, Asia, and Australasia. The company was founded in 1946 and is headquartered in Parsippany, NJ.

About Schneider National

Schneider National, Inc., together with its subsidiaries, provides surface transportation and logistics solutions in the United States, Canada, and Mexico. It operates through three segments: Truckload, Intermodal, and Logistics. The Truckload segment offers over the road freight transportation services primarily through dry van, bulk, temperature-controlled, and flat-bed trailers across either network or dedicated configurations. The Intermodal segment provides door-to-door container on flat car services through a combination of rail and dray transportation using company-owned containers, chassis, and trucks. The Logistics segment offers asset-light freight brokerage, supply chain, warehousing, and import/export services to manage and move its customers' freight. The company leases equipment, such as trucks to owner-operators; and provides insurance for the company drivers and owner-operators. Schneider National, Inc. was founded in 1935 and is headquartered in Green Bay, Wisconsin.