SciPlay (NASDAQ:SCPL) and Tucows (NASDAQ:TCX) are both consumer discretionary companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, dividends, earnings, profitability, valuation, institutional ownership and analyst recommendations.
Earnings & Valuation
This table compares SciPlay and Tucows' gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
SciPlay | $465.80 million | 4.63 | $32.40 million | $1.53 | 11.15 |
Tucows | $337.14 million | 2.50 | $15.40 million | N/A | N/A |
SciPlay has higher revenue and earnings than Tucows.
Institutional & Insider Ownership
15.9% of SciPlay shares are held by institutional investors. Comparatively, 56.4% of Tucows shares are held by institutional investors. 0.2% of SciPlay shares are held by company insiders. Comparatively, 13.5% of Tucows shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.
Analyst Recommendations
This is a breakdown of current ratings and recommmendations for SciPlay and Tucows, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
SciPlay | 1 | 4 | 4 | 0 | 2.33 |
Tucows | 0 | 0 | 0 | 0 | N/A |
SciPlay currently has a consensus price target of $19.3889, suggesting a potential upside of 13.45%. Given SciPlay's higher possible upside, equities research analysts clearly believe SciPlay is more favorable than Tucows.
Profitability
This table compares SciPlay and Tucows' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
SciPlay | 3.81% | 7.36% | 5.50% |
Tucows | 2.91% | 12.90% | 2.85% |
Risk & Volatility
SciPlay has a beta of 0.46, indicating that its share price is 54% less volatile than the S&P 500. Comparatively, Tucows has a beta of 0.72, indicating that its share price is 28% less volatile than the S&P 500.
Summary
SciPlay beats Tucows on 7 of the 12 factors compared between the two stocks.