Critical Comparison: Driven Brands (NASDAQ:DRVN) versus SunCar Technology Group (NASDAQ:SDA)

Driven Brands (NASDAQ:DRVNGet Free Report) and SunCar Technology Group (NASDAQ:SDAGet Free Report) are both small-cap auto/tires/trucks companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, earnings, profitability, institutional ownership, dividends and risk.

Institutional & Insider Ownership

77.1% of Driven Brands shares are owned by institutional investors. Comparatively, 0.3% of SunCar Technology Group shares are owned by institutional investors. 2.6% of Driven Brands shares are owned by insiders. Comparatively, 22.2% of SunCar Technology Group shares are owned 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.

Volatility and Risk

Driven Brands has a beta of 1.19, suggesting that its share price is 19% more volatile than the S&P 500. Comparatively, SunCar Technology Group has a beta of -0.15, suggesting that its share price is 115% less volatile than the S&P 500.

Profitability

This table compares Driven Brands and SunCar Technology Group’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Driven Brands -33.30% 12.08% 2.19%
SunCar Technology Group N/A N/A N/A

Valuation and Earnings

This table compares Driven Brands and SunCar Technology Group’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Driven Brands $2.30 billion 0.79 -$744.96 million ($4.66) -2.39
SunCar Technology Group $363.75 million 2.03 -$26.91 million N/A N/A

SunCar Technology Group has lower revenue, but higher earnings than Driven Brands.

Analyst Recommendations

This is a summary of current recommendations and price targets for Driven Brands and SunCar Technology Group, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Driven Brands 0 5 5 0 2.50
SunCar Technology Group 0 0 0 0 N/A

Driven Brands presently has a consensus price target of $17.61, indicating a potential upside of 57.95%. Given Driven Brands’ higher probable upside, analysts clearly believe Driven Brands is more favorable than SunCar Technology Group.

Summary

Driven Brands beats SunCar Technology Group on 7 of the 11 factors compared between the two stocks.

About Driven Brands

(Get Free Report)

Driven Brands Holdings Inc., together with its subsidiaries, provides automotive services to retail and commercial customers in the United States, Canada, and internationally. It offers various services, such as paint, collision, glass, repair, car wash, oil change, and maintenance services. The company also distributes automotive parts, including radiators, air conditioning components, and exhaust products to automotive repair shops, auto parts stores, body shops, and other auto repair outlets; windshields and glass accessories through a network of distribution centers; and consumable products, such as oil filters and wiper blades, as well as training services to repair and maintenance, and paint and collision shops. It sells its products and services under the CARSTAR, IMO, MAACO, Meineke Car Care Centers, PH Vitres D'Autos, Take 5 Oil Change, Take 5 Car Wash, Auto Glass Now, Fix Auto USA, and 1-800-Radiator & A/C, Spire Supply, and Automotive Training Institute brands. The company was founded in 1972 and is headquartered in Charlotte, North Carolina.

About SunCar Technology Group

(Get Free Report)

SunCar Technology Group Inc., through its subsidiaries, provides digitalized automotive after-sales service and online insurance intermediation services in the People's Republic of China. It operates through three segments: Insurance Intermediation Business; Automotive After-Sales Business; and Technology Business. The company offers customized after-sale services to banking, insurance companies, and other customer types; and auto mobile insurance comprising statutory automobile liability insurance and commercial automobile insurance. In addition, it provides auto insurance SaaS products and other technical services. The company is based in Shanghai, China.

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