Auto Parts 4Less Group (OTC:FLES) vs. Edgio (NASDAQ:EGIO) Critical Contrast

Edgio (NASDAQ:EGIO) and Auto Parts 4Less Group (OTC:FLES) are both small-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, risk, profitability, dividends and valuation.

Profitability

This table compares Edgio and Auto Parts 4Less Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Edgio	N/A	N/A	N/A
Auto Parts 4Less Group	N/A	N/A	N/A

Volatility and Risk

Edgio has a beta of 0.51, meaning that its share price is 49% less volatile than the S&P 500. Comparatively, Auto Parts 4Less Group has a beta of 1.5, meaning that its share price is 50% more volatile than the S&P 500.

Insider & Institutional Ownership

23.2% of Edgio shares are owned by institutional investors. 2.6% of Edgio shares are owned by company insiders. Comparatively, 26.3% of Auto Parts 4Less Group shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Edgio and Auto Parts 4Less Group’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Edgio	$403.59 million	0.13	-$136.52 million	($25.60)	-0.36
Auto Parts 4Less Group	$4.20 million	0.01	-$17.78 million	($5.73)	0.00

Auto Parts 4Less Group has lower revenue, but higher earnings than Edgio. Edgio is trading at a lower price-to-earnings ratio than Auto Parts 4Less Group, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings for Edgio and Auto Parts 4Less Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Edgio	0	2	0	0	2.00
Auto Parts 4Less Group	0	0	0	0	N/A

Edgio presently has a consensus target price of $20.00, indicating a potential upside of 118.10%. Given Edgio’s higher possible upside, analysts clearly believe Edgio is more favorable than Auto Parts 4Less Group.

Summary

Auto Parts 4Less Group beats Edgio on 5 of the 9 factors compared between the two stocks.

About Edgio

Edgio, Inc. provides edge-enabled software solutions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company operates private global networks with distributed computing resources and extensive connectivity to last-mile broadband network providers; offers live and on-demand video delivery services; and provides platform, media, and application solutions. It also offers cloud security, edge compute, origin storage, and support services. In addition, the company provides content delivery, video content management, and streaming services, performance services for website and web application and security; professional services, cloud storage, and edge computing services. The company was formerly known as Limelight Networks, Inc. and changed its name to Edgio, Inc. in June 2022. Edgio, Inc. was founded in 2001 and is headquartered in Phoenix, Arizona.

About Auto Parts 4Less Group

Auto Parts 4Less Group, Inc., operates as an e-commerce auto and truck parts sales company in the United States. The company offers automotive parts, including exhaust systems, suspension systems, wheels, tires, stereo systems, truck bed covers, and shocks for cars, trucks, boats, motorcycles, RVs, and other parts through AutoParts4Less.com. The company was formerly known as The 4Less Group, Inc. and changed its name to Auto Parts 4Less Group, Inc. in April 2022. Auto Parts 4Less Group, Inc. is based in Las Vegas, Nevada.