VerifyMe (NASDAQ:VRME) vs. United Parcel Service (NYSE:UPS) Head-To-Head Analysis

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

Analyst Recommendations

This is a summary of recent ratings for United Parcel Service and VerifyMe, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
United Parcel Service	1	11	8	1	2.43
VerifyMe	1	1	1	0	2.00

United Parcel Service presently has a consensus target price of $117.41, suggesting a potential upside of 12.62%. VerifyMe has a consensus target price of $1.50, suggesting a potential upside of 109.76%. Given VerifyMe’s higher probable upside, analysts clearly believe VerifyMe is more favorable than United Parcel Service.

Volatility and Risk

United Parcel Service has a beta of 1.06, meaning that its share price is 6% more volatile than the S&P 500. Comparatively, VerifyMe has a beta of 0.32, meaning that its share price is 68% less volatile than the S&P 500.

Profitability

This table compares United Parcel Service and VerifyMe’s 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%
VerifyMe	-36.55%	-13.70%	-11.57%

Insider & Institutional Ownership

60.3% of United Parcel Service shares are owned by institutional investors. Comparatively, 8.8% of VerifyMe shares are owned by institutional investors. 0.2% of United Parcel Service shares are owned by company insiders. Comparatively, 19.7% of VerifyMe shares are owned by company 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.

Valuation & Earnings

This table compares United Parcel Service and VerifyMe”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	1.00	$5.57 billion	$5.38	19.38
VerifyMe	$16.40 million	0.57	-$4.91 million	($0.38)	-1.88

United Parcel Service has higher revenue and earnings than VerifyMe. VerifyMe 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.

Summary

United Parcel Service beats VerifyMe 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 VerifyMe

VerifyMe, Inc., together with its subsidiary, PeriShip Global, LLC, operates as a technology solutions provider that specializes in products to connect brands with consumers and providing brands with end-to-end logistics management for their products. The company operates through two segments, VerifyMe Solutions and PeriShip Global Solutions. The VerifyMe Solutions segment offers technology solutions to connect brands with consumers allowing brand owners to gather business intelligence while engaging directly with their consumers. Its solutions provide brand protection and supply chain functions, such as counterfeit prevention, traceability, consumer engagement solutions, and authentication for labels, packaging, and products, as well as tamper-proof labels. The PeriShip Global Solutions segment offers predictive analytics for optimizing delivery of time and temperature sensitive perishable products. This segment's products include PeriTrack customer dashboard, an integrated web portal tool gives its customers an in-depth look at their shipping activities based on real-time data. It also provides call center, pre-transit, post-delivery, and weather/traffic services. The company has a strategic partnership with INX International Ink Company. The company was formerly known as LaserLock Technologies, Inc. and changed its name to VerifyMe, Inc. in July 2015. VerifyMe, Inc. was incorporated in 1999 and is headquartered in Lake Mary, Florida.