Contrasting OPENLANE (NYSE:KAR) and Pinewood Technologies Group (OTCMKTS:PINWF)

OPENLANE (NYSE:KAR) and Pinewood Technologies Group (OTCMKTS:PINWF) are both auto/tires/trucks companies, but which is the better business? We will compare the two companies based on the strength of their risk, institutional ownership, valuation, dividends, analyst recommendations, profitability and earnings.

Risk and Volatility

OPENLANE has a beta of 1.25, suggesting that its share price is 25% more volatile than the S&P 500. Comparatively, Pinewood Technologies Group has a beta of 1.13, suggesting that its share price is 13% more volatile than the S&P 500.

Institutional & Insider Ownership

99.8% of OPENLANE shares are held by institutional investors. 2.3% of OPENLANE shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares OPENLANE and Pinewood Technologies Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
OPENLANE	$1.79 billion	1.83	$109.90 million	$0.87	35.37
Pinewood Technologies Group	$30.47 million	N/A	$101.63 million	N/A	N/A

OPENLANE has higher revenue and earnings than Pinewood Technologies Group.

Profitability

This table compares OPENLANE and Pinewood Technologies Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OPENLANE	9.00%	12.42%	3.65%
Pinewood Technologies Group	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current recommendations and price targets for OPENLANE and Pinewood Technologies Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OPENLANE	0	2	4	1	2.86
Pinewood Technologies Group	0	0	0	0	0.00

OPENLANE currently has a consensus price target of $30.20, suggesting a potential downside of 1.86%. Given OPENLANE’s stronger consensus rating and higher probable upside, analysts clearly believe OPENLANE is more favorable than Pinewood Technologies Group.

Summary

OPENLANE beats Pinewood Technologies Group on 12 of the 12 factors compared between the two stocks.

About OPENLANE

OPENLANE, Inc., together with its subsidiaries, operates as a digital marketplace for used vehicles, which connects sellers and buyers in North America, Europe, the Philippines, and Uruguay. The company operates through two segments, Marketplace and Finance. The Marketplace segment offers digital marketplace services for buying and selling used vehicles. Its digital marketplaces include OPENLANE, a mobile-app enabled solutions that allows dealers to sell and source inventory in the United States. This segment also provides value-added ancillary services, including inbound and outbound transportation logistics, reconditioning, vehicle inspection and certification, titling, administrative, and collateral recovery services. This segment sells its products and services through vehicle manufacturers, fleet companies, rental car companies, finance companies, and others. The Finance segment offers floorplan financing, a short-term inventory-secured financing to independent used vehicle dealers. The company serves commercial customers and dealer customers. The company was formerly known as KAR Auction Services, Inc. and changed its name to OPENLANE, Inc. in May 2023. OPENLANE, Inc. was incorporated in 2006 and is headquartered in Carmel, Indiana.

About Pinewood Technologies Group

Pinnacle Renewable Energy Inc., together with its subsidiaries, manufactures, distributes, and sells industrial wood pellets for industrial electrical power generation and home heating consumption in North America, Asia, and Europe. The company produces renewable fuel in the form of industrial wood pellets for electricity generation, which are used by utilities and large-scale power generators to produce renewable and baseload power. It also owns and operates the Westview port facility at Prince Rupert for the storage, handling, and loading of third party wood pellets. The company was formerly known as Pinnacle Renewable Holdings Inc. and changed its name to Pinnacle Renewable Energy Inc. in December 2018. Pinnacle Renewable Energy Inc. was founded in 1989 and is headquartered in Richmond, Canada.