OneWater Marine (NASDAQ:ONEW) versus America’s Car-Mart (NASDAQ:CRMT) Financial Contrast

America’s Car-Mart (NASDAQ:CRMT) and OneWater Marine (NASDAQ:ONEW) are both small-cap consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, dividends, valuation, earnings, analyst recommendations, risk and institutional ownership.

Volatility & Risk

America’s Car-Mart has a beta of 1.27, suggesting that its share price is 27% more volatile than the S&P 500. Comparatively, OneWater Marine has a beta of 1.53, suggesting that its share price is 53% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for America’s Car-Mart and OneWater Marine, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
America’s Car-Mart	1	2	0	0	1.67
OneWater Marine	1	2	2	0	2.20

America’s Car-Mart presently has a consensus target price of $14.00, indicating a potential upside of 462.25%. OneWater Marine has a consensus target price of $13.33, indicating a potential upside of 14.06%. Given America’s Car-Mart’s higher possible upside, analysts plainly believe America’s Car-Mart is more favorable than OneWater Marine.

Valuation and Earnings

This table compares America’s Car-Mart and OneWater Marine”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
America’s Car-Mart	$1.28 billion	0.02	-$139.11 million	($16.21)	-0.15
OneWater Marine	$1.87 billion	0.10	-$114.58 million	($7.46)	-1.57

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

Profitability

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

	Net Margins	Return on Equity	Return on Assets
America’s Car-Mart	-10.50%	-4.09%	-1.31%
OneWater Marine	-6.72%	2.20%	0.44%

Institutional & Insider Ownership

89.1% of America’s Car-Mart shares are owned by institutional investors. Comparatively, 94.3% of OneWater Marine shares are owned by institutional investors. 18.4% of America’s Car-Mart shares are owned by insiders. Comparatively, 19.5% of OneWater Marine shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

OneWater Marine beats America’s Car-Mart on 12 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 OneWater Marine

OneWater Marine Inc. operates as a recreational boat retailer in the United States. The company offers new and pre-owned recreational boats and yachts, as well as related marine products, such as parts and accessories. It provides boat repair and maintenance services. In addition, the company arranges boat financing and insurance; and other ancillary services, including indoor and outdoor storage, and marina services. Further, it provides rental of boats and personal watercraft services. OneWater Marine Inc. was founded in 2014 and is headquartered in Buford, Georgia.