PAMT (NASDAQ:PAMT) and Lyft (NASDAQ:LYFT) Critical Comparison

Lyft (NASDAQ:LYFT) and PAMT (NASDAQ:PAMT) are both industrials companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, risk, earnings, profitability, valuation and dividends.

Institutional & Insider Ownership

83.1% of Lyft shares are held by institutional investors. Comparatively, 22.1% of PAMT shares are held by institutional investors. 0.9% of Lyft shares are held by insiders. Comparatively, 77.2% of PAMT shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Lyft and PAMT”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lyft	$6.32 billion	1.04	$2.84 billion	$6.88	2.51
PAMT	$598.11 million	0.47	-$52.61 million	($2.03)	-6.66

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

Risk and Volatility

Lyft has a beta of 1.8, meaning that its share price is 80% more volatile than the S&P 500. Comparatively, PAMT has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Lyft and PAMT, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lyft	2	22	13	0	2.30
PAMT	1	0	0	0	1.00

Lyft presently has a consensus price target of $19.80, suggesting a potential upside of 14.74%. Given Lyft’s stronger consensus rating and higher probable upside, equities analysts clearly believe Lyft is more favorable than PAMT.

Profitability

This table compares Lyft and PAMT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lyft	42.32%	-1.20%	-0.36%
PAMT	-7.07%	-13.55%	-4.27%

Summary

Lyft beats PAMT on 13 of the 14 factors compared between the two stocks.

About Lyft

Lyft, Inc. operates a peer-to-peer marketplace for on-demand ridesharing in the United States and Canada. It operates multimodal transportation networks that offer access to various transportation options through the Lyft platform and mobile-based applications. The company's platform provides a ridesharing marketplace, which connects drivers with riders; Express Drive, a car rental program for drivers; and a network of shared bikes and scooters in various cities to address the needs of riders for short trips. It also offers centralized tools and enterprise transportation solutions, such as concierge transportation solutions for organizations; Lyft Pink subscription plans; Lyft Pass commuter programs; first-mile and last-mile services; and university safe rides programs. The company was formerly known as Zimride, Inc. and changed its name to Lyft, Inc. in April 2013. Lyft, Inc. was incorporated in 2007 and is headquartered in San Francisco, California.

About PAMT

PAMT Corp. is a holding company, which engages in the provision of truckload and logistics services through its subsidiaries. Its freight consists primarily of automotive parts, expedited goods, consumer goods, such as general retail store merchandise, and manufactured goods, such as heating and air conditioning units. The company was founded in June 1986 and is headquartered in Tontitown, AR.