Financial Analysis: Maplebear (NASDAQ:CART) vs. Tesco (OTCMKTS:TSCDD)

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

Earnings & Valuation

This table compares Maplebear and Tesco”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Maplebear	$3.74 billion	3.19	$447.00 million	$1.83	28.16
Tesco	N/A	N/A	N/A	N/A	N/A

Maplebear has higher revenue and earnings than Tesco.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Maplebear	11.97%	20.19%	14.13%
Tesco	N/A	N/A	N/A

Volatility and Risk

Maplebear has a beta of 0.8, meaning that its stock price is 20% less volatile than the S&P 500. Comparatively, Tesco has a beta of 0.68, meaning that its stock price is 32% less volatile than the S&P 500.

Insider and Institutional Ownership

63.1% of Maplebear shares are owned by institutional investors. Comparatively, 0.2% of Tesco shares are owned by institutional investors. 24.0% of Maplebear shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Maplebear	0	9	15	0	2.62
Tesco	0	0	0	0	0.00

Maplebear currently has a consensus target price of $56.14, indicating a potential upside of 8.95%. Given Maplebear’s stronger consensus rating and higher probable upside, equities analysts plainly believe Maplebear is more favorable than Tesco.

Summary

Maplebear beats Tesco on 10 of the 10 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 Tesco

Tesco PLC, together with its subsidiaries, operates as a grocery retailer. The company operates through convenience and hypermarket store formats, as well as engages in the wholesale business. It also provides retail banking and insurance services. The company operates in the United Kingdom, the Republic of Ireland, the Czech Republic, Hungary, Poland, Slovakia, Malaysia, and Thailand. The company serves its customers through stores, as well as online. Tesco PLC was founded in 1919 and is headquartered in Welwyn Garden City, the United Kingdom.