Shoal Games (OTCMKTS:SGLDF) and Allied Esports Entertainment (NASDAQ:AESE) are both small-cap consumer discretionary companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, dividends, valuation, risk, profitability, institutional ownership and earnings.
Analyst Ratings
This is a summary of current ratings for Shoal Games and Allied Esports Entertainment, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Shoal Games | 0 | 0 | 0 | 0 | N/A |
Allied Esports Entertainment | 0 | 0 | 3 | 0 | 3.00 |
Allied Esports Entertainment has a consensus price target of $4.00, suggesting a potential upside of 79.37%. Given Allied Esports Entertainment's higher possible upside, analysts clearly believe Allied Esports Entertainment is more favorable than Shoal Games.
Profitability
This table compares Shoal Games and Allied Esports Entertainment's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Shoal Games | -2,254.74% | -234.49% | -184.41% |
Allied Esports Entertainment | -139.42% | -59.30% | -37.26% |
Institutional & Insider Ownership
1.0% of Allied Esports Entertainment shares are owned by institutional investors. 24.4% of Shoal Games shares are owned by company insiders. Comparatively, 7.2% of Allied Esports Entertainment shares are owned by company 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.
Earnings and Valuation
This table compares Shoal Games and Allied Esports Entertainment's gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Shoal Games | $110,000.00 | 510.43 | $-2,590,000.00 | N/A | N/A |
Allied Esports Entertainment | $26.07 million | 3.00 | $-16,740,000.00 | ($0.92) | -2.42 |
Shoal Games has higher earnings, but lower revenue than Allied Esports Entertainment.
Volatility and Risk
Shoal Games has a beta of 0.26, meaning that its share price is 74% less volatile than the S&P 500. Comparatively, Allied Esports Entertainment has a beta of 1.22, meaning that its share price is 22% more volatile than the S&P 500.
Summary
Allied Esports Entertainment beats Shoal Games on 8 of the 11 factors compared between the two stocks.