Freight Technologies (NASDAQ:FRGT) vs. United Parcel Service (NYSE:UPS) Financial Analysis

United Parcel Service (NYSE:UPS) and Freight Technologies (NASDAQ:FRGT) are both industrials companies, but which is the better stock? We will contrast the two companies based on the strength of their valuation, institutional ownership, risk, earnings, analyst recommendations, dividends and profitability.

Insider and Institutional Ownership

60.3% of United Parcel Service shares are held by institutional investors. Comparatively, 6.2% of Freight Technologies shares are held by institutional investors. 0.2% of United Parcel Service shares are held by company insiders. Comparatively, 9.0% of Freight Technologies shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility & Risk

United Parcel Service has a beta of 1.07, indicating that its share price is 7% more volatile than the S&P 500. Comparatively, Freight Technologies has a beta of 1.19, indicating that its share price is 19% more volatile than the S&P 500.

Profitability

This table compares United Parcel Service and Freight Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
United Parcel Service	5.08%	37.50%	8.21%
Freight Technologies	N/A	N/A	N/A

Earnings & Valuation

This table compares United Parcel Service and Freight Technologies”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
United Parcel Service	$88.66 billion	0.89	$5.57 billion	$5.38	17.30
Freight Technologies	$13.06 million	0.01	-$7.90 million	($87.25)	-0.00

United Parcel Service has higher revenue and earnings than Freight Technologies. Freight Technologies is trading at a lower price-to-earnings ratio than United Parcel Service, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings for United Parcel Service and Freight Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
United Parcel Service	3	11	11	1	2.38
Freight Technologies	1	0	0	0	1.00

United Parcel Service currently has a consensus price target of $116.65, indicating a potential upside of 25.30%. Given United Parcel Service’s stronger consensus rating and higher probable upside, analysts plainly believe United Parcel Service is more favorable than Freight Technologies.

Summary

United Parcel Service beats Freight Technologies on 13 of the 15 factors compared between the two stocks.

About United Parcel Service

United Parcel Service, Inc., a package delivery company, provides transportation and delivery, distribution, contract logistics, ocean freight, airfreight, customs brokerage, and insurance services. It operates through two segments, U.S. Domestic Package and International Package. The U.S. Domestic Package segment offers time-definite delivery of express letters, documents, small packages, and palletized freight through air and ground services in the United States. The International Package segment provides guaranteed day and time-definite international shipping services comprising guaranteed time-definite express options in Europe, Asia, the Indian sub-continent, the Middle East, Africa, Canada, and Latin America. The company also offers international air and ocean freight forwarding, post-sales, and mail and consulting services. In addition, it provides truckload and customs brokerage services; supply chain solutions to the healthcare and life sciences industries; fulfillment and transportation management services; and integrated supply chain and shipment insurance solutions. United Parcel Service, Inc. was founded in 1907 and is headquartered in Atlanta, Georgia.

About Freight Technologies

Freight Technologies, Inc., through its subsidiary, operates a transportation logistics technology platform for cross-border shipping in the United States and Mexico. Its Fr8App technology platform offers an online portal and a mobile application that provide third-party logistics services to companies in the freight transportation market; a transport management solution for customers to manage their own fleet; and freight brokerage support and customer services based on the platform. The company was incorporated in 2015 and is headquartered in The Woodlands, Texas.