Reviewing Snail (NASDAQ:SNAL) and Super Group (SGHC) (NYSE:SGHC)

Snail (NASDAQ:SNAL) and Super Group (SGHC) (NYSE:SGHC) are both consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, institutional ownership, dividends, valuation, analyst recommendations, earnings and risk.

Valuation and Earnings

This table compares Snail and Super Group (SGHC)”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Snail	$84.47 million	0.48	$1.83 million	($0.46)	-2.37
Super Group (SGHC)	$1.84 billion	3.63	$122.38 million	$0.26	50.96

Super Group (SGHC) has higher revenue and earnings than Snail. Snail is trading at a lower price-to-earnings ratio than Super Group (SGHC), indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

0.4% of Snail shares are held by institutional investors. Comparatively, 5.1% of Super Group (SGHC) shares are held by institutional investors. 78.2% of Snail shares are held by company insiders. Comparatively, 10.4% of Super Group (SGHC) shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings and target prices for Snail and Super Group (SGHC), as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Snail	0	0	0	0	0.00
Super Group (SGHC)	0	0	8	2	3.20

Super Group (SGHC) has a consensus price target of $15.40, suggesting a potential upside of 16.23%. Given Super Group (SGHC)’s stronger consensus rating and higher possible upside, analysts clearly believe Super Group (SGHC) is more favorable than Snail.

Risk and Volatility

Snail has a beta of 0.43, meaning that its stock price is 57% less volatile than the S&P 500. Comparatively, Super Group (SGHC) has a beta of 1.09, meaning that its stock price is 9% more volatile than the S&P 500.

Profitability

This table compares Snail and Super Group (SGHC)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Snail	-4.80%	-1,183.47%	14.24%
Super Group (SGHC)	6.42%	36.68%	21.00%

Summary

Super Group (SGHC) beats Snail on 14 of the 15 factors compared between the two stocks.

About Snail

Snail, Inc., together with its subsidiaries, researches, develops, markets, publishes, and distributes interactive digital entertainment for consumers worldwide. It offers games, content, and support for various platforms, including game consoles, personal computers, mobile phones, and tablets. Snail, Inc. was founded in 2009 and is headquartered in Culver City, California. Snail, Inc. operates as a subsidiary of Olive Wood Global Development Limited.

About Super Group (SGHC)

Super Group (SGHC) Limited operates as an online sports betting and gaming operator. It offers Betway, an online sports betting brand; and Spin, a multi-brand online casino offering. Super Group (SGHC) Limited is based in Saint Peter Port, Guernsey.