PLAYSTUDIOS (NASDAQ:MYPS) & Alkami Technology (NASDAQ:ALKT) Critical Comparison

Alkami Technology (NASDAQ:ALKT) and PLAYSTUDIOS (NASDAQ:MYPS) are both computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, dividends, profitability, earnings, risk, analyst recommendations and institutional ownership.

Volatility & Risk

Alkami Technology has a beta of 0.56, meaning that its stock price is 44% less volatile than the S&P 500. Comparatively, PLAYSTUDIOS has a beta of 0.89, meaning that its stock price is 11% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Alkami Technology and PLAYSTUDIOS, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alkami Technology	0	2	6	0	2.75
PLAYSTUDIOS	1	2	3	0	2.33

Alkami Technology currently has a consensus price target of $39.88, suggesting a potential upside of 35.58%. PLAYSTUDIOS has a consensus price target of $2.60, suggesting a potential upside of 68.83%. Given PLAYSTUDIOS’s higher probable upside, analysts plainly believe PLAYSTUDIOS is more favorable than Alkami Technology.

Profitability

This table compares Alkami Technology and PLAYSTUDIOS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alkami Technology	-14.55%	-11.31%	-9.15%
PLAYSTUDIOS	-8.75%	-9.15%	-7.29%

Valuation & Earnings

This table compares Alkami Technology and PLAYSTUDIOS”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alkami Technology	$355.56 million	8.52	-$62.91 million	($0.38)	-77.39
PLAYSTUDIOS	$274.31 million	0.75	-$19.39 million	($0.24)	-6.42

PLAYSTUDIOS has lower revenue, but higher earnings than Alkami Technology. Alkami Technology is trading at a lower price-to-earnings ratio than PLAYSTUDIOS, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

55.0% of Alkami Technology shares are owned by institutional investors. Comparatively, 37.5% of PLAYSTUDIOS shares are owned by institutional investors. 18.1% of Alkami Technology shares are owned by insiders. Comparatively, 14.3% of PLAYSTUDIOS shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

PLAYSTUDIOS beats Alkami Technology on 8 of the 14 factors compared between the two stocks.

About Alkami Technology

Alkami Technology, Inc. offers cloud-based digital banking solutions in the United States. The company's Alkami Platform allows financial institutions to onboard and engage new users, accelerate revenues, and enhance operational efficiency, with the support of a proprietary, cloud-based, and multi-tenant architecture. It serves community, regional, super-regional credit unions, and banks. The company was founded in 2009 and is headquartered in Plano, Texas.

About PLAYSTUDIOS

PLAYSTUDIOS, Inc. develops and publishes free-to-play casual games for mobile and social platforms in the United States and internationally. The company's game portfolio includes a diverse range of titles comprising social casino, card, puzzle, and adventure games. It also offers POP! Slots, myVEGAS Slots, my KONAMI Slots, MGM Slots Live, myVEGAS Blackjack, myVEGAS Bingo, Tetris, Solitaire, Spider Solitaire, Jumbline 2, Sudoku, and Mahjong games. PLAYSTUDIOS, Inc. is headquartered in Las Vegas, Nevada.