Comparing Monro Muffler Brake (NASDAQ:MNRO) & Wag! Group (NASDAQ:PET)

Monro Muffler Brake (NASDAQ:MNRO) and Wag! Group (NASDAQ:PET) are both small-cap consumer discretionary companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, dividends, profitability, analyst recommendations, institutional ownership, risk and valuation.

Analyst Recommendations

This is a summary of recent ratings and target prices for Monro Muffler Brake and Wag! Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Monro Muffler Brake	0	1	2	0	2.67
Wag! Group	0	2	3	0	2.60

Monro Muffler Brake currently has a consensus target price of $17.67, suggesting a potential upside of 6.17%. Wag! Group has a consensus target price of $4.17, suggesting a potential upside of 2,336.65%. Given Wag! Group’s higher possible upside, analysts plainly believe Wag! Group is more favorable than Monro Muffler Brake.

Volatility and Risk

Monro Muffler Brake has a beta of 0.97, suggesting that its share price is 3% less volatile than the S&P 500. Comparatively, Wag! Group has a beta of 1.66, suggesting that its share price is 66% more volatile than the S&P 500.

Earnings & Valuation

This table compares Monro Muffler Brake and Wag! Group”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Monro Muffler Brake	$1.20 billion	0.42	-$5.18 million	($0.20)	-83.20
Wag! Group	$70.51 million	0.12	-$17.57 million	($0.39)	-0.44

Monro Muffler Brake has higher revenue and earnings than Wag! Group. Monro Muffler Brake is trading at a lower price-to-earnings ratio than Wag! Group, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

86.2% of Wag! Group shares are owned by institutional investors. 1.6% of Monro Muffler Brake shares are owned by company insiders. Comparatively, 20.7% of Wag! Group shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Monro Muffler Brake and Wag! Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Monro Muffler Brake	-0.43%	2.43%	0.93%
Wag! Group	-29.17%	N/A	-58.54%

Summary

Monro Muffler Brake beats Wag! Group on 8 of the 14 factors compared between the two stocks.

About Monro Muffler Brake

Monro, Inc. provides automotive undercar repair, and tire sales and services in the United States. It offers replacement tires and tire related services, automotive undercar repair services, and routine maintenance services primarily to passenger cars, light trucks, and vans. The company also provides other products and services for brakes; mufflers and exhaust systems; and steering, drive train, suspension, and wheel alignment. In addition, it operates stores under the brand names of Monro Auto Service and Tire Centers, Tire Choice Auto Service Centers, Mr. Tire Auto Service Centers, Car-X Tire & Auto, Tire Warehouse Tires for Less, Ken Towery's Tire & Auto Care, Mountain View Tire & Auto Service, and Tire Barn Warehouse. The company was founded in 1957 and is headquartered in Rochester, New York.

About Wag! Group

Wag! Group Co. develops and supports a proprietary marketplace technology platform available as a website and mobile app that enables independent pet caregivers to connect with pet parents. Its platform allows pet parents, who require specific pet care services, such as dog walking, pet sitting and boarding, advice from licensed pet experts, home visits, training, and pet insurance comparison tools. The company was founded in 2014 and is headquartered in San Francisco, California.