MassRoots, Inc. has come under scrutiny as a recent survey reveals its performance compared to competitors in the “Computer Programming, Data Processing, & Other Computer Related” sector. The analysis highlights several areas where MassRoots lags behind its peers, raising questions about its market position.
Volatility and Risk Assessment
MassRoots exhibits significant volatility, with a beta of 2.45. This figure indicates that its share price is 145% more volatile than the S&P 500 index, a benchmark for the broader market. In contrast, the average beta for its competitors stands at 1.21, which suggests their shares are 21% more volatile than the S&P 500. This disparity in risk profiles may concern potential investors seeking stability.
Ownership Structure
In terms of ownership, institutional investors hold 22.1% of MassRoots shares. This figure is significantly lower than the average institutional ownership of 45.8% in the broader sector. Additionally, insider ownership at MassRoots is recorded at 6.1%, compared to 13.6% for its industry peers. Strong institutional ownership often indicates confidence from large financial entities regarding a company’s long-term performance potential.
The company, founded in April 2013 by Isaac Dietrich, Stewart Fortier, Tyler Knight, and Hyler Fortier, is headquartered in Denver, CO. MassRoots operates a social media network tailored for the cannabis community, featuring a rewards program called WeedPass. This initiative allows consumers to earn tickets for various events by shopping at participating dispensaries.
Despite these positive aspects, the profitability metrics paint a concerning picture. MassRoots has been reported to have lower net margins, return on equity, and return on assets compared to its competitors. Furthermore, while competitors report higher revenues and earnings, MassRoots is currently trading at a higher price-to-earnings ratio, indicating that it is perceived as a more expensive option within its industry.
The survey summary reveals that MassRoots’ competitors outperform the company in five out of nine measured factors, suggesting potential challenges ahead. The company may need to reassess its strategies to enhance its competitiveness and appeal to institutional investors.
As MassRoots navigates these challenges, stakeholders will be watching closely to see how the company adapts to the competitive landscape and seeks to improve its market standing. For continuous updates on MassRoots and related companies, interested parties can subscribe to MarketBeat.com’s daily email newsletter to receive concise summaries and analysts’ ratings.
