Analyzing Stonepath Group (OTCMKTS:SGRZ) and PowerFleet (NASDAQ:AIOT)

Stonepath Group (OTCMKTS:SGRZ) and PowerFleet (NASDAQ:AIOT) are both transportation companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, profitability, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Profitability

This table compares Stonepath Group and PowerFleet’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Stonepath Group	N/A	N/A	N/A
PowerFleet	-9.95%	-8.56%	-4.45%

Valuation and Earnings

This table compares Stonepath Group and PowerFleet”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Stonepath Group	N/A	N/A	N/A	N/A	N/A
PowerFleet	$362.52 million	1.89	-$50.99 million	($0.30)	-17.13

Stonepath Group has higher earnings, but lower revenue than PowerFleet.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Stonepath Group and PowerFleet, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stonepath Group	0	0	0	0	0.00
PowerFleet	2	0	5	0	2.43

PowerFleet has a consensus target price of $10.50, indicating a potential upside of 104.28%. Given PowerFleet’s stronger consensus rating and higher possible upside, analysts clearly believe PowerFleet is more favorable than Stonepath Group.

Institutional and Insider Ownership

73.4% of PowerFleet shares are owned by institutional investors. 13.6% of Stonepath Group shares are owned by insiders. Comparatively, 6.3% of PowerFleet shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

PowerFleet beats Stonepath Group on 5 of the 9 factors compared between the two stocks.

About Stonepath Group

Stonepath Group Inc., a third-party logistics company, provides transportation and logistics services worldwide. The company offers various supply chain solutions to a diverse client base, including manufacturers, distributors, and retail chains. Its transportation services include air and ocean freight forwarding, distribution, customs brokerage, consulting services, shipment tracking between pickup and delivery, and other customized management services. Stonepath Group co-ordinates the movement of raw materials, supplies, components, and finished goods for its customers throughout North America and internationally. The company also provides warehousing and distribution services in North America, and offers customs clearance and bonded warehousing services in the international markets. In addition, it provides contract logistics, global project management, order fulfillment, and inventory control services. As of March 31, 2006, the company operated a network of offices in 21 major metropolitan areas in North America, 17 locations in the Asia Pacific region, 3 locations in Brazil, and 1 location in Europe, as well as a network of independent agents and service partners worldwide. The company was formerly known as Net Value Holdings and changed its name to Stonepath Group Inc. in October 2000. The company was incorporated in 1998 and is based in Seattle, Washington. On May 8, 2007, an involuntary petition for bankruptcy protection was filed by Spherion Corporation, Custom Transfer Incorporated, and Overbye Transport Incorporated against Stonepath Group Inc. under Chapter 7 liquidation with the U.S. Bankruptcy Court for the District of Delaware.

About PowerFleet

PowerFleet, Inc. engages in the provision of fleet management solutions for logistics, industrial, and vehicles. It offers wireless Internet of Things and machine to machine solutions for securing, controlling, tracking, and managing enterprise assets such as industrial trucks, tractor trailers, containers, cargo, and vehicle and truck fleets. It operates through the following geographical segments: United States, Israel, and Other. The company was founded in 1993 and is headquartered in Woodcliff Lake, NJ.