The shares of United Parcel Service, Inc. (NYSE:UPS) and Jaguar Health, Inc. (NASDAQ:JAGX) were among the active stocks of the last trading sessions. United Parcel Service, Inc. (NYSE:UPS) soared to 0.33% closing at the price of $111.5 whereas the shares of Jaguar Health, Inc. (NASDAQ:JAGX) soared 6.19% with the increase of 0.02 points closing at the price of $0.51. United Parcel Service, Inc. has currently decrease -3.42% in its stock over the period of 6-months while its rival Jaguar Health, Inc. subtracted -78.73% in the previous 6-months.
Now we have to analyze the facts that if the stocks were worthy off investors’ money? The facts to analyze here are risks, profitability, returns and price trends.
Returns and Profitability
Profitability and returns are the main reason of investment, the investors are looking for profits that they get and return they should expect over the period of time.
The first and foremost return that is considered while making an investment is the ROI or Return on Investment. The ROI is the ratio between the profit against the cost of investment. Currently the ROI of United Parcel Service, Inc. (NYSE:UPS) is 19.9% while the ROI of Jaguar Health, Inc. (NASDAQ:JAGX) is -63.9%. Another figure that is to be considered while analyzing the profitability of a share is its EBITDA margin, UPS’s EBITDA Margin is 11.93 whereas JAGX’s is -1.72.
Both the profitability ratios suggest that United Parcel Service, Inc. (NYSE:UPS) is more suitable investment in terms of profitability and return.
EPS & Surprise Factor
United Parcel Service, Inc. (NYSE:UPS) reported $1.82/share EPS for the previous quarter where analysts were predicting an EPS to be $1.82/share Thus meeting the analyst Estimates with a Surprise Factor of 0 Percent. While, Jaguar Health, Inc. (NASDAQ:JAGX) reported EPS of $-0.9/share in the last quarter. The analysts projected EPS of $-0.13/share depicting a Surprise of -592.3 Percent.
Taking a look at Earnings per Share, United Parcel Service, Inc. tends to be beating the analyst estimates more than Jaguar Health, Inc.. so UPS is more profitable than JAGX.
Technical Analysis of United Parcel Service, Inc. & Jaguar Health, Inc.
Moving average convergence divergence (MACD) shows that United Parcel Service, Inc. (NYSE:UPS) is on a PRICE RELATIVITY trend While Jaguar Health, Inc. (NASDAQ:JAGX) is on PRICE RELATIVITY trend. The trend for the past 10-days shows that the United Parcel Service, Inc. was in BULLISH territory and Jaguar Health, Inc. was in BULLISH territory.
UPS’s current statistics gauge that the stock candle is BULLISH with HIGH volatility. While JAGX’s candle is BULLISH with MEDIUM.
EPS Growth Rate: UPS’s 11.59% versus JAGX’s 40%
Another shareholder value can be analyzed through the EPS growth rate; the next 5 years EPS growth rate is predicted by the analysts after the analyzing the previous trends. The next 5 year EPS growth rate of United Parcel Service, Inc. (NYSE:UPS) is predicted at 11.59% while Jaguar Health, Inc. (NASDAQ:JAGX) stands at 40%. These numbers suggest that JAGX is more suitable investment in terms of EPS growth rate.
Financial Risk and Liquidity Concerns
The current ratio and the debt ratio are the two ratios that show the investor how quickly the company is able to payout its debt and how quickly it can cover its obligations. The current ratio of UPS stands at 1.2 while JAGX is at 0.6 whereas the debt ratio of the prior is 9.76 while the debt ratio of the later is 1.11.
The values of the both ratios suggest that UPS is more suitable investment when the liquidity and risk is the main concern.
While making an investment, another main factor to consider before investing is the analyst recommendation on the scale of 1 to 5 where 1 is strong buy, 2 is buy, 3 is hold, 4 is Sell and 5 is strong sell. Analyst recommend 2.5 for UPS and 2 for JAGX which means UPS has Hold rating whereas JAGX has Buy rating.
Another recommendation of analyst that is to be considered worthy is the price target. The mare price or price trend does not suggest the suitability of a stock. The price target set by analyst is also to be considered while investing as it suggests to what extent the stock will rise or fall in the near future. The price target set for UPS is $125.52 which is 11.17% of its current price while JAGX has price target of 1.25 which is 59.2% of its current price.
Valuation is the process of determining the company’s worth for an investor, the valuation ratios give an insight to that worthiness.
UPS currently has price to earning P/E ratio of 18.72 whereas JAGX has 0 while the forward P/E ratio for the prior stands at 14.22 and for the later it depicts the value of 0.
The price to Book P/B for UPS is 41.45, Price to Sale is at 1.37 and for JAGX these ratios stand at 0.42 and 3.1.