Hub Group (NASDAQ:HUBG) versus Royal Mail (OTCMKTS:ROYMY) Head to Head Contrast

Royal Mail (OTCMKTS:ROYMY) and Hub Group (NASDAQ:HUBG) are both mid-cap transportation companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, valuation, analyst recommendations, institutional ownership, risk, profitability and earnings.

Valuation & Earnings

This table compares Royal Mail and Hub Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Royal Mail	$15.94 billion	0.25	$67.88 million	N/A	N/A
Hub Group	$3.95 billion	0.72	$103.99 million	$1.73	26.86

Hub Group has lower revenue, but higher earnings than Royal Mail.

Institutional & Insider Ownership

46.8% of Hub Group shares are owned by institutional investors. 3.5% of Hub Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Royal Mail and Hub Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Royal Mail	N/A	N/A	N/A
Hub Group	N/A	N/A	N/A

Analyst Ratings

This is a summary of current ratings for Royal Mail and Hub Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Royal Mail	0	0	0	0	0.00
Hub Group	1	9	6	0	2.31

Hub Group has a consensus price target of $43.31, indicating a potential downside of 6.82%. Given Hub Group’s stronger consensus rating and higher possible upside, analysts plainly believe Hub Group is more favorable than Royal Mail.

Summary

Hub Group beats Royal Mail on 7 of the 8 factors compared between the two stocks.

About Royal Mail

International Distributions Services plc, together with its subsidiaries, operates as a universal postal service provider in the United Kingdom and internationally. The company offers parcels and letter delivery services under the Royal Mail and Parcelforce Worldwide brands. It also provides services for the collection, sorting, and delivery of parcels and letters. In addition, the company operates ground-based parcel delivery networks in Europe that covers 40 countries and nation states. Further, it provides express parcel delivery and logistics services. Additionally, the company engages in property holdings and facilities management activities. It serves consumers, and small and medium-sized enterprises. The company was formerly known as Royal Mail plc and changed its name to International Distributions Services plc in October 2022. International Distributions Services plc was founded in 1516 and is based in London, the United Kingdom.

About Hub Group

Hub Group, Inc., a supply chain solutions provider, offers transportation and logistics management services in North America. The company's transportation services include intermodal, truckload, less-than-truckload, flatbed, temperature-controlled, and dedicated and regional trucking, as well as final mile, railcar, small parcel, and international transportation. Its logistics services comprise full outsource logistics solution, transportation management, freight consolidation, warehousing and fulfillment, final mile delivery, and parcel and international services. The company also provides dry van, expedited, less-than-truckload, refrigerated, and flatbed truck brokerage services. It offers a fleet of approximately 2,300 tractors, 460 independent owner-operators, and 4,300 trailers to its customers, as well as the management and infrastructure. The company serves a range of industries, including retail, consumer products, and durable goods. As of December 31, 2023, it owned approximately 50,000 dry, 53-foot containers, as well as 900 refrigerated and 53-foot containers. The company was founded in 1971 and is headquartered in Oak Brook, Illinois.