Katapult (NASDAQ:KPLT) vs. Full Truck Alliance (NYSE:YMM) Head to Head Comparison

Full Truck Alliance (NYSE:YMM) and Katapult (NASDAQ:KPLT) are both business services companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, valuation, institutional ownership, risk, dividends, earnings and analyst recommendations.

Analyst Ratings

This is a summary of current ratings and recommmendations for Full Truck Alliance and Katapult, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Full Truck Alliance	0	4	4	0	2.50
Katapult	1	1	0	0	1.50

Full Truck Alliance presently has a consensus price target of $10.79, indicating a potential upside of 40.01%. Katapult has a consensus price target of $10.00, indicating a potential upside of 45.77%. Given Katapult’s higher possible upside, analysts clearly believe Katapult is more favorable than Full Truck Alliance.

Insider and Institutional Ownership

39.0% of Full Truck Alliance shares are held by institutional investors. Comparatively, 26.8% of Katapult shares are held by institutional investors. 16.5% of Full Truck Alliance shares are held by insiders. Comparatively, 8.0% of Katapult shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Risk and Volatility

Full Truck Alliance has a beta of 0.3, suggesting that its share price is 70% less volatile than the S&P 500. Comparatively, Katapult has a beta of 1.5, suggesting that its share price is 50% more volatile than the S&P 500.

Valuation and Earnings

This table compares Full Truck Alliance and Katapult”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Full Truck Alliance	$1.79 billion	4.50	$630.36 million	$0.57	13.52
Katapult	$291.76 million	0.11	$1.37 million	$1.15	5.97

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

Profitability

This table compares Full Truck Alliance and Katapult’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Full Truck Alliance	32.68%	10.52%	9.56%
Katapult	2.48%	-16.24%	7.63%

Summary

Full Truck Alliance beats Katapult on 11 of the 14 factors compared between the two stocks.

About Full Truck Alliance

Full Truck Alliance Co. Ltd., together with its subsidiaries, operates a digital freight platform that connects shippers with truckers to facilitate shipments across distance ranges, cargo weights, and types in the People's Republic of China. The company offers freight matching services, such as freight listing and brokerage services; and online transaction services, as well as various value-added services, such as credit solutions, insurance brokerage, software solutions, electronic toll collection, and energy services. It also provides technology development and other services. The company was founded in 2011 and is based in Guiyang, China.

About Katapult

Katapult Holdings, Inc., an e-commerce focused financial technology company, provides e-commerce point-of-sale lease-purchase options for nonprime consumers in the United States. The company's technology platform provides nonprime consumers with a lease purchase option to enable them to obtain durable goods from its network of e-commerce retailers. It also offers Katapult Pay, a one-time use virtual card technology that makes lease purchasing and transactions. The company was formerly known as Cognical Holdings, Inc. and changed its name to Katapult Holdings, Inc. in February 2020. The company is headquartered in Plano, Texas.