PSQ (NYSE:PSQH) versus PDD (NASDAQ:PDD) Head-To-Head Survey

PDD (NASDAQ:PDD) and PSQ (NYSE:PSQH) are both retail/wholesale companies, but which is the better investment? We will compare the two companies based on the strength of their risk, earnings, institutional ownership, dividends, analyst recommendations, valuation and profitability.

Profitability

This table compares PDD and PSQ’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PDD	24.46%	29.31%	18.47%
PSQ	-178.95%	-184.74%	-62.82%

Earnings and Valuation

This table compares PDD and PSQ”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PDD	$53.96 billion	2.70	$15.40 billion	$9.58	10.92
PSQ	$23.20 million	1.50	-$57.69 million	($1.20)	-0.63

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

Analyst Recommendations

This is a summary of recent ratings and recommmendations for PDD and PSQ, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PDD	0	11	4	0	2.27
PSQ	1	0	1	0	2.00

PDD currently has a consensus price target of $139.87, indicating a potential upside of 33.75%. PSQ has a consensus price target of $3.50, indicating a potential upside of 363.58%. Given PSQ’s higher probable upside, analysts plainly believe PSQ is more favorable than PDD.

Insider and Institutional Ownership

39.8% of PDD shares are held by institutional investors. Comparatively, 17.3% of PSQ shares are held by institutional investors. 3.7% of PDD shares are held by insiders. Comparatively, 22.1% of PSQ shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

PDD beats PSQ on 11 of the 13 factors compared between the two stocks.

About PDD

PDD Holdings Inc., a multinational commerce group, owns and operates a portfolio of businesses. It operates Pinduoduo, an e-commerce platform that offers products in various categories, including agricultural produce, apparel, shoes, bags, mother and childcare products, food and beverage, electronic appliances, furniture and household goods, cosmetics and other personal care, sports and fitness items and auto accessories; and Temu, an online marketplace. It focuses on bringing businesses and people into the digital economy. The company was formerly known as Pinduoduo Inc. and changed its name to PDD Holdings Inc. in February 2023. The company was incorporated in 2015 and is based in Dublin, Ireland.

About PSQ

PSQ Holdings, Inc., together with its subsidiaries, operates an online marketplace through advertising and eCommerce in the United States. It operates through two segments, Marketplace and Brands segments. The PSQ platform is accessible through its mobile application and website. The company also sells diapers and wipes to mothers online under the EveryLife brand name. PSQ Holdings, Inc. is headquartered in West Palm Beach, Florida.