WillScot (NASDAQ:WSC) and RE/MAX (NYSE:RMAX) Critical Analysis

RE/MAX (NYSE:RMAX) and WillScot (NASDAQ:WSC) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, risk, institutional ownership, profitability and analyst recommendations.

Valuation & Earnings

This table compares RE/MAX and WillScot”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RE/MAX	$291.60 million	0.42	$8.15 million	$0.39	15.41
WillScot	$2.28 billion	1.38	-$52.99 million	($0.30)	-58.07

RE/MAX has higher earnings, but lower revenue than WillScot. WillScot is trading at a lower price-to-earnings ratio than RE/MAX, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and target prices for RE/MAX and WillScot, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RE/MAX	1	1	0	0	1.50
WillScot	1	6	3	0	2.20

RE/MAX presently has a consensus price target of $9.00, indicating a potential upside of 49.75%. WillScot has a consensus price target of $25.50, indicating a potential upside of 46.38%. Given RE/MAX’s higher possible upside, research analysts clearly believe RE/MAX is more favorable than WillScot.

Volatility & Risk

RE/MAX has a beta of 1.26, indicating that its share price is 26% more volatile than the S&P 500. Comparatively, WillScot has a beta of 1.08, indicating that its share price is 8% more volatile than the S&P 500.

Insider and Institutional Ownership

93.2% of RE/MAX shares are held by institutional investors. Comparatively, 95.8% of WillScot shares are held by institutional investors. 6.8% of RE/MAX shares are held by insiders. Comparatively, 3.1% of WillScot shares are held by 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 RE/MAX and WillScot’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RE/MAX	2.80%	-73.77%	5.20%
WillScot	-2.32%	20.42%	3.37%

Summary

RE/MAX beats WillScot on 8 of the 14 factors compared between the two stocks.

About RE/MAX

RE/MAX Holdings, Inc. operates as a franchisor of real estate brokerage services in the United States, Canada, and internationally. It operates through Real Estate, Mortgage, and Marketing Funds segments. The company offers real estate brokerage franchising services under the RE/MAX brand; mortgage brokerage services to real estate brokers, real estate professionals, mortgage professionals, and other investors under the Motto Mortgage brand; and mortgage loan processing software and services under the wemlo brand. It also provides kvCORE platform, which integrates a suite of digital products that enables agents, brokers, and teams to establish and manage client relationships; and RE/MAX University platform, a learning hub designed to help each agent in their professional expertise. The company was founded in 1973 and is headquartered in Denver, Colorado.

About WillScot

WillScot Holdings Corporation provides workspace and portable storage solutions in the United States, Canada, and Mexico. It operates in two segments, Modular Solutions and Storage Solutions. Its modular solutions include panelized and stackable offices, single-wide modular space units, section modulars and redi-plex, classrooms, ground level offices, blast-resistant modules, clearspan structures, and other modular space; and portable storage solutions, such as portable and cold storage containers, as well as trailers. The company leases modular space and portable storage units to customers in the construction, commercial and industrial, retail and wholesale trade, energy and natural resources, education, government and institutions, and healthcare markets. The company offers its solutions primarily under the WillScot and Mobile Mini brand names. The company was formerly known as WillScot Mobile Mini Holdings Corp. and changed its name to WillScot Holdings Corporation in July 2024. WillScot Mobile Mini Holdings Corp. is headquartered in Phoenix, Arizona.