Contrasting Lazydays (NASDAQ:GORV) and America’s Car-Mart (NASDAQ:CRMT)

America’s Car-Mart (NASDAQ:CRMT) and Lazydays (NASDAQ:GORV) are both small-cap retail/wholesale companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, earnings, valuation, dividends, institutional ownership, profitability and risk.

Analyst Recommendations

This is a summary of recent ratings and price targets for America’s Car-Mart and Lazydays, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
America’s Car-Mart	1	1	0	1	2.33
Lazydays	0	2	0	0	2.00

America’s Car-Mart presently has a consensus price target of $50.00, suggesting a potential upside of 16.23%. Lazydays has a consensus price target of $2.00, suggesting a potential upside of 233.89%. Given Lazydays’ higher possible upside, analysts clearly believe Lazydays is more favorable than America’s Car-Mart.

Volatility and Risk

America’s Car-Mart has a beta of 1.64, indicating that its share price is 64% more volatile than the S&P 500. Comparatively, Lazydays has a beta of 1.98, indicating that its share price is 98% more volatile than the S&P 500.

Institutional and Insider Ownership

89.1% of America’s Car-Mart shares are held by institutional investors. Comparatively, 89.7% of Lazydays shares are held by institutional investors. 19.6% of America’s Car-Mart shares are held by insiders. Comparatively, 0.5% of Lazydays 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.

Profitability

This table compares America’s Car-Mart and Lazydays’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
America’s Car-Mart	-0.29%	-2.26%	-0.73%
Lazydays	-20.83%	-62.37%	-8.53%

Earnings and Valuation

This table compares America’s Car-Mart and Lazydays”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
America’s Car-Mart	$1.36 billion	0.26	-$31.39 million	($0.82)	-52.46
Lazydays	$920.77 million	0.01	-$110.27 million	($13.85)	-0.04

America’s Car-Mart has higher revenue and earnings than Lazydays. America’s Car-Mart is trading at a lower price-to-earnings ratio than Lazydays, indicating that it is currently the more affordable of the two stocks.

Summary

America’s Car-Mart beats Lazydays on 10 of the 14 factors compared between the two stocks.

About America’s Car-Mart

America’s Car-Mart, Inc., through its subsidiaries, operates as an automotive retailer for the used car market in the United States. It primarily sells older model used vehicles and provides financing for its customers. The company was founded in 1981 and is headquartered in Rogers, Arkansas.

About Lazydays

Lazydays Holdings, Inc. operates recreational vehicle (RV) dealerships under the Lazydays name in the United States. The company offers RV sales, RV-repair and services, financing and insurance products, third-party protection plans, and after-market parts and accessories. It also operates the Lazydays RV resort at Tampa, Florida. The company was founded in 1976 and is based in Tampa, Florida.