Paranovus Entertainment Technology (NASDAQ:PAVS) & Cars.com (NYSE:CARS) Critical Comparison

Paranovus Entertainment Technology (NASDAQ:PAVS) and Cars.com (NYSE:CARS) are both small-cap multi-sector conglomerates companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, earnings, valuation and risk.

Volatility and Risk

Paranovus Entertainment Technology has a beta of -0.11, indicating that its stock price is 111% less volatile than the S&P 500. Comparatively, Cars.com has a beta of 2.15, indicating that its stock price is 115% more volatile than the S&P 500.

Profitability

This table compares Paranovus Entertainment Technology and Cars.com’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paranovus Entertainment Technology	N/A	N/A	N/A
Cars.com	5.46%	9.99%	4.33%

Analyst Recommendations

This is a summary of recent recommendations for Paranovus Entertainment Technology and Cars.com, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paranovus Entertainment Technology	0	0	0	0	0.00
Cars.com	0	2	2	0	2.50

Cars.com has a consensus price target of $23.00, suggesting a potential upside of 29.24%. Given Cars.com’s stronger consensus rating and higher probable upside, analysts clearly believe Cars.com is more favorable than Paranovus Entertainment Technology.

Valuation and Earnings

This table compares Paranovus Entertainment Technology and Cars.com”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paranovus Entertainment Technology	$6.55 million	1.50	-$10.13 million	N/A	N/A
Cars.com	$689.18 million	1.67	$118.44 million	$0.58	30.68

Cars.com has higher revenue and earnings than Paranovus Entertainment Technology.

Insider & Institutional Ownership

0.2% of Paranovus Entertainment Technology shares are held by institutional investors. Comparatively, 89.2% of Cars.com shares are held by institutional investors. 15.6% of Paranovus Entertainment Technology shares are held by company insiders. Comparatively, 2.1% of Cars.com shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Cars.com beats Paranovus Entertainment Technology on 11 of the 12 factors compared between the two stocks.

About Paranovus Entertainment Technology

Paranovus Entertainment Technology Ltd. engages in the research, development, manufacture, and sale of nutraceutical and dietary supplement products in the People's Republic of China and internationally. The company's product category includes lucidum spore powders, cordyceps mycelia, Ejiao products, American ginseng products, other traditional Chinese herbal and animal extracts, vitamins, minerals, and amino acids. It also offers product marketing and e-commerce agency operation services under the Happy Buy platform to small and middle size businesses; and e-commerce solutions, internet information, and advertising services to the online stores or manufactures. In addition, the company provides secure transaction environment, automobile procurement, and financial services for automobile manufacturers under the Taochejun automobile sales platform. It sells its products through distributors, large-scale chain drugstores, malls, and supermarkets under the Happiness brand. The company was formerly known as Happiness Development Group Limited and changed its name to Paranovus Entertainment Technology Ltd. in March 2023. The company was founded in 2004 and is headquartered in Nanping, the People's Republic of China.

About Cars.com

Cars.com Inc., through its subsidiaries, operates as a digital automotive marketplace that connects local car dealers to consumers in the United States. The company offers a suite of digital solutions that creates connections between individuals researching cars or looking to purchase a car with car dealerships and automotive original equipment manufacturers. It also sells online subscription advertising products to car dealerships by its direct sales force, as well as through its affiliate sales channel. In addition, the company sells display advertising to national advertisers. Further, it offers online automotive marketplace service that connects buyers and sellers through Cars.com, Auto.com, DealerRater.com, NewCars.com, PickupTrucks.com, DealerInspire.com, and LaunchDigitalMarketing.com Websites. Its platform hosts approximately 4.9 million new and used vehicle listings and serves approximately 20,000 franchise and independent car dealers. Cars.com Inc. was founded in 1998 and is headquartered in Chicago, Illinois.