Critical Analysis: VOXX International Corporation (NASDAQ:VOXX) vs. U.S. Auto Parts Network (PRTS)

VOXX International Corporation (NASDAQ: VOXX) and U.S. Auto Parts Network (NASDAQ:PRTS) are both small-cap computer and technology companies, but which is the better stock? We will compare the two companies based on the strength of their earnings, risk, valuation, profitabiliy, institutional ownership, dividends and analyst recommendations.

Analyst Ratings

This is a summary of recent ratings and recommmendations for VOXX International Corporation and U.S. Auto Parts Network, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
VOXX International Corporation	0	1	0	0	2.00
U.S. Auto Parts Network	0	0	1	0	3.00

VOXX International Corporation currently has a consensus target price of $7.00, suggesting a potential upside of 2.94%. U.S. Auto Parts Network has a consensus target price of $5.00, suggesting a potential upside of 81.16%. Given U.S. Auto Parts Network’s stronger consensus rating and higher probable upside, analysts clearly believe U.S. Auto Parts Network is more favorable than VOXX International Corporation.

Profitability

This table compares VOXX International Corporation and U.S. Auto Parts Network’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
VOXX International Corporation	0.83%	1.45%	0.83%
U.S. Auto Parts Network	-0.09%	6.07%	1.72%

Valuation & Earnings

This table compares VOXX International Corporation and U.S. Auto Parts Network’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	EBITDA	Earnings Per Share	Price/Earnings Ratio
VOXX International Corporation	$684.69 million	0.24	$15.82 million	$0.23	29.57
U.S. Auto Parts Network	$303.66 million	0.31	$8.58 million	($0.01)	-276.00

VOXX International Corporation has higher revenue and earnings than U.S. Auto Parts Network. U.S. Auto Parts Network is trading at a lower price-to-earnings ratio than VOXX International Corporation, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

VOXX International Corporation has a beta of 0.95, indicating that its stock price is 5% less volatile than the S&P 500. Comparatively, U.S. Auto Parts Network has a beta of 1.53, indicating that its stock price is 53% more volatile than the S&P 500.

Insider and Institutional Ownership

52.4% of VOXX International Corporation shares are owned by institutional investors. Comparatively, 63.7% of U.S. Auto Parts Network shares are owned by institutional investors. 17.8% of VOXX International Corporation shares are owned by insiders. Comparatively, 40.7% of U.S. Auto Parts Network shares are owned by 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

U.S. Auto Parts Network beats VOXX International Corporation on 9 of the 13 factors compared between the two stocks.

VOXX International Corporation Company Profile

VOXX International Corporation is an international manufacturer and distributor in the automotive, audio and consumer accessories industries. The Company’s segments include Automotive, Premium Audio and Consumer Accessories. The Automotive segment designs, manufactures, distributes and markets rear-seat entertainment devices, satellite radio products, remote start systems, digital television tuners, mobile antennas, mobile multimedia devices, car link-smartphone telematics application, collision avoidance systems and others. The Premium Audio segment designs, manufactures, distributes and markets home theater systems, outdoor speakers, iPod/computer speakers, business music systems, cinema speakers, flat panel speakers, Bluetooth speakers and others. The Consumer Accessories segment designs and markets remote controls, rechargeable battery packs, wireless and Bluetooth speakers, Singtrix karaoke products, 360 Fly Action Cameras, personal sound amplifiers and others.

U.S. Auto Parts Network Company Profile

U.S. Auto Parts Network, Inc. is an online provider of automotive aftermarket parts and repair information. The Company is an online provider of aftermarket auto parts, including collision parts, engine parts, and performance parts and accessories. The Company operates through two segments: Base USAP, which is an auto parts business, and AutoMD, an online automotive repair source. The Company’s Websites provide customers with a range of stock keeping units (SKUs) with detailed product descriptions, attributes and photographs. The Company’s product database maps its SKUs to product applications based on vehicle makes, models and years. The Company primarily sells its products to individual consumers through its network of Websites and online marketplaces. The Company classifies its products into various categories, including collision parts serving the body repair segment, engine parts to serve the replacement/wear parts market, and performance parts and accessories.