Financial Comparison: ZTO Express (Cayman) (NYSE:ZTO) vs. Stonepath Group (OTCMKTS:SGRZ)

Stonepath Group (OTCMKTS:SGRZ) and ZTO Express (Cayman) (NYSE:ZTO) are both transportation companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, institutional ownership, valuation, analyst recommendations, risk, profitability and earnings.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Stonepath Group and ZTO Express (Cayman), as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stonepath Group	0	0	0	0	0.00
ZTO Express (Cayman)	0	2	3	2	3.00

ZTO Express (Cayman) has a consensus price target of $22.36, suggesting a potential upside of 6.98%. Given ZTO Express (Cayman)’s stronger consensus rating and higher possible upside, analysts clearly believe ZTO Express (Cayman) is more favorable than Stonepath Group.

Profitability

This table compares Stonepath Group and ZTO Express (Cayman)’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
ZTO Express (Cayman)	18.61%	14.33%	9.89%

Institutional & Insider Ownership

41.7% of ZTO Express (Cayman) shares are held by institutional investors. 13.6% of Stonepath Group shares are held by insiders. Comparatively, 41.3% of ZTO Express (Cayman) shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares Stonepath Group and ZTO Express (Cayman)”s gross 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
ZTO Express (Cayman)	$6.07 billion	2.06	$1.21 billion	$1.51	13.84

ZTO Express (Cayman) has higher revenue and earnings than Stonepath Group.

Summary

ZTO Express (Cayman) beats Stonepath Group on 10 of the 10 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 ZTO Express (Cayman)

ZTO Express (Cayman) Inc. provides express delivery and other value-added logistics services in the People's Republic of China. It offers freight forwarding services; and delivery services for e-commerce and traditional merchants, and other express service users. The company was founded in 2002 and is headquartered in Shanghai, the People's Republic of China.