Head to Head Analysis: Global-e Online (NASDAQ:GLBE) and Travelzoo (NASDAQ:TZOO)

Global-e Online (NASDAQ:GLBE) and Travelzoo (NASDAQ:TZOO) are both retail/wholesale companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, earnings, dividends, risk, institutional ownership, profitability and valuation.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Global-e Online and Travelzoo, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Global-e Online	1	1	12	1	2.87
Travelzoo	0	2	2	0	2.50

Global-e Online presently has a consensus target price of $44.50, indicating a potential upside of 22.89%. Travelzoo has a consensus target price of $15.67, indicating a potential upside of 56.35%. Given Travelzoo’s higher possible upside, analysts plainly believe Travelzoo is more favorable than Global-e Online.

Volatility and Risk

Global-e Online has a beta of 1.06, indicating that its stock price is 6% more volatile than the S&P 500. Comparatively, Travelzoo has a beta of 1.28, indicating that its stock price is 28% more volatile than the S&P 500.

Earnings & Valuation

This table compares Global-e Online and Travelzoo”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Global-e Online	$962.20 million	6.39	$68.27 million	$0.65	55.71
Travelzoo	$91.72 million	1.12	$4.70 million	$0.36	27.83

Global-e Online has higher revenue and earnings than Travelzoo. Travelzoo is trading at a lower price-to-earnings ratio than Global-e Online, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Global-e Online and Travelzoo’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Global-e Online	11.37%	12.64%	8.86%
Travelzoo	4.32%	-101.85%	8.49%

Institutional and Insider Ownership

94.6% of Global-e Online shares are owned by institutional investors. Comparatively, 27.4% of Travelzoo shares are owned by institutional investors. 11.6% of Global-e Online shares are owned by company insiders. Comparatively, 45.3% of Travelzoo shares are owned by company 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

Global-e Online beats Travelzoo on 12 of the 15 factors compared between the two stocks.

About Global-e Online

Global-E Online Ltd., together with its subsidiaries, provides a platform to enable and accelerate direct-to-consumer cross-border e-commerce in Israel, the United Kingdom, the United States, and internationally. Its platform enables international shoppers to buy online and merchants to sell from, and to, worldwide. The company was incorporated in 2013 and is headquartered in Petah Tikva, Israel.

About Travelzoo

Travelzoo, together with its subsidiaries, operates as an Internet media company that provides travel, entertainment, and local experiences worldwide. It operates in four segments: Travelzoo North America, Travelzoo Europe, Jack's Flight Club, and New Initiatives. The company offers Travelzoo website, Travelzoo Top 20 email newsletters, Standalone email newsletters, Travelzoo Network, Travelzoo mobile applications, Jack's Flight Club website, Jack's Flight Club mobile applications, and Jack's Flight Club newsletters. The company's Travelzoo website and newsletters include local deals and getaways listings that allow members to purchase vouchers for offers from local businesses, such as spas, hotels, and restaurants; Jack's Flight Club, a subscription service that provides members with information about exceptional airfares; and Travelzoo Network, a network of third-party websites that list travel deals published by the company. It serves airlines, hotels, cruise lines, vacations packagers, tour operators, destinations, car rental companies, travel agents, theater and performing arts groups, restaurants, spas, and activity companies. Travelzoo Inc. was incorporated in 1998 and is headquartered in New York, New York.