Financial Analysis: CrowdStrike (NASDAQ:CRWD) versus Full Truck Alliance (NYSE:YMM)

CrowdStrike (NASDAQ:CRWD) and Full Truck Alliance (NYSE:YMM) are both large-cap computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, valuation, dividends, profitability, earnings, institutional ownership and risk.

Profitability

This table compares CrowdStrike and Full Truck Alliance’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CrowdStrike	4.84%	8.44%	3.14%
Full Truck Alliance	26.80%	7.88%	7.08%

Earnings & Valuation

This table compares CrowdStrike and Full Truck Alliance”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CrowdStrike	$3.52 billion	20.28	$89.33 million	$0.53	552.85
Full Truck Alliance	$1.19 billion	8.65	$311.68 million	$0.32	30.47

Full Truck Alliance has lower revenue, but higher earnings than CrowdStrike. Full Truck Alliance is trading at a lower price-to-earnings ratio than CrowdStrike, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

71.2% of CrowdStrike shares are held by institutional investors. Comparatively, 39.0% of Full Truck Alliance shares are held by institutional investors. 4.3% of CrowdStrike shares are held by insiders. Comparatively, 16.5% of Full Truck Alliance shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk & Volatility

CrowdStrike has a beta of 1.1, meaning that its stock price is 10% more volatile than the S&P 500. Comparatively, Full Truck Alliance has a beta of 0.23, meaning that its stock price is 77% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and recommmendations for CrowdStrike and Full Truck Alliance, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CrowdStrike	1	6	33	2	2.86
Full Truck Alliance	0	1	1	1	3.00

CrowdStrike presently has a consensus price target of $325.44, indicating a potential upside of 11.07%. Full Truck Alliance has a consensus price target of $8.50, indicating a potential downside of 12.82%. Given CrowdStrike’s higher probable upside, equities research analysts clearly believe CrowdStrike is more favorable than Full Truck Alliance.

Summary

CrowdStrike beats Full Truck Alliance on 10 of the 15 factors compared between the two stocks.

About CrowdStrike

CrowdStrike Holdings, Inc. provides cybersecurity solutions in the United States and internationally. Its unified platform offers cloud-delivered protection of endpoints, cloud workloads, identity, and data. The company offers corporate endpoint and cloud workload security, managed security, security and vulnerability management, IT operations management, identity protection, SIEM and log management, threat intelligence, data protection, security orchestration, automation and response and AI powered workflow automation, and securing generative AI workload services. It primarily sells subscriptions to its Falcon platform and cloud modules. The company was incorporated in 2011 and is headquartered in Austin, Texas.

About Full Truck Alliance

Full Truck Alliance Co. Ltd., together with its subsidiaries, operates a digital freight platform that connects shippers with truckers to facilitate shipments across distance ranges, cargo weights, and types in the People's Republic of China. The company offers freight matching services, such as freight listing and brokerage services; and online transaction services, as well as various value-added services, such as credit solutions, insurance brokerage, software solutions, electronic toll collection, and energy services. It also provides technology development and other services. The company was founded in 2011 and is based in Guiyang, China.