Head-To-Head Analysis: Maplebear (NASDAQ:CART) versus Walmart (NASDAQ:WMT)

Maplebear (NASDAQ:CART) and Walmart (NASDAQ:WMT) are both large-cap consumer staples companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, valuation, earnings, dividends, institutional ownership, risk and profitability.

Analyst Recommendations

This is a breakdown of recent ratings for Maplebear and Walmart, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Maplebear	0	15	7	0	2.32
Walmart	0	2	39	3	3.02

Maplebear presently has a consensus target price of $59.06, indicating a potential upside of 1.61%. Walmart has a consensus target price of $129.62, indicating a potential upside of 3.26%. Given Walmart’s stronger consensus rating and higher possible upside, analysts clearly believe Walmart is more favorable than Maplebear.

Insider & Institutional Ownership

63.1% of Maplebear shares are owned by institutional investors. Comparatively, 26.8% of Walmart shares are owned by institutional investors. 24.0% of Maplebear shares are owned by insiders. Comparatively, 0.1% of Walmart shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Maplebear and Walmart’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Maplebear	11.59%	22.50%	15.17%
Walmart	3.00%	21.83%	7.80%

Risk and Volatility

Maplebear has a beta of 0.69, indicating that its stock price is 31% less volatile than the S&P 500. Comparatively, Walmart has a beta of 0.53, indicating that its stock price is 47% less volatile than the S&P 500.

Earnings & Valuation

This table compares Maplebear and Walmart”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Maplebear	$3.74 billion	3.60	$447.00 million	$1.92	30.27
Walmart	$713.16 billion	1.40	$21.89 billion	$2.77	45.31

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

Summary

Walmart beats Maplebear on 8 of the 15 factors compared between the two stocks.

About Maplebear

Maplebear Inc., doing business as Instacart, engages in the provision of online grocery shopping services to households in North America. It sells and delivers grocery products, as well as pickup services through a mobile application and website. It also operates virtual convenience stores; and provides software-as-a-service solutions to retailers. The company was incorporated in 2012 and is based in San Francisco, California.

About Walmart

Walmart Inc. engages in the operation of retail, wholesale, other units, and eCommerce worldwide. The company operates through three segments: Walmart U.S., Walmart International, and Sam's Club. It operates supercenters, supermarkets, hypermarkets, warehouse clubs, cash and carry stores, and discount stores under Walmart and Walmart Neighborhood Market brands; membership-only warehouse clubs; ecommerce websites, such as walmart.com.mx, walmart.ca, flipkart.com, PhonePe and other sites; and mobile commerce applications. The company offers grocery and consumables, including dairy, meat, bakery, deli, produce, dry, chilled or frozen packaged foods, alcoholic and nonalcoholic beverages, floral, snack foods, candy, other grocery items, health and beauty aids, paper goods, laundry and home care, baby care, pet supplies, and other consumable items; fuel, tobacco and other categories. It is also involved in the provision of health and wellness products covering pharmacy, optical and hearing services, and over-the-counter drugs and other medical products; and home and apparel including home improvement, outdoor living, gardening, furniture, apparel, jewelry, tools and power equipment, housewares, toys, seasonal items, mattresses and tire and battery centers. In addition, the company offers consumer electronics and accessories, software, video games, office supplies, appliances, and third-party gift cards. Further, it operates digital payment platforms; and offers financial services and related products, including money transfers, bill payments, money orders, check cashing, prepaid access, co-branded credit cards, installment lending, and earned wage access. Additionally, the company markets lines of merchandise under private brands, including Allswell, Athletic Works, Equate, and Free Assembly. The company was formerly known as Wal-Mart Stores, Inc. and changed its name to Walmart Inc. in February 2018. Walmart Inc. was founded in 1945 and is based in Bentonville, Arkansas.