CMG Holdings Group (OTCMKTS:CMGO) versus Stran & Company, Inc. (NASDAQ:SWAG) Critical Review

CMG Holdings Group (OTCMKTS:CMGO) and Stran & Company, Inc. (NASDAQ:SWAG) are both small-cap business services companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, risk, profitability, earnings, institutional ownership, valuation and dividends.

Insider and Institutional Ownership

56.4% of Stran & Company, Inc. shares are held by institutional investors. 3.3% of CMG Holdings Group shares are held by company insiders. Comparatively, 49.6% of Stran & Company, Inc. shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares CMG Holdings Group and Stran & Company, Inc.”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CMG Holdings Group	$2.04 million	0.00	-$120,000.00	N/A	N/A
Stran & Company, Inc.	$108.41 million	0.30	-$4.14 million	($0.13)	-13.54

CMG Holdings Group has higher earnings, but lower revenue than Stran & Company, Inc..

Analyst Recommendations

This is a breakdown of recent ratings and target prices for CMG Holdings Group and Stran & Company, Inc., as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CMG Holdings Group	0	0	0	0	0.00
Stran & Company, Inc.	1	0	0	0	1.00

Given CMG Holdings Group’s higher probable upside, research analysts plainly believe CMG Holdings Group is more favorable than Stran & Company, Inc..

Volatility & Risk

CMG Holdings Group has a beta of -0.39, meaning that its stock price is 139% less volatile than the S&P 500. Comparatively, Stran & Company, Inc. has a beta of 2.11, meaning that its stock price is 111% more volatile than the S&P 500.

Profitability

This table compares CMG Holdings Group and Stran & Company, Inc.’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CMG Holdings Group	N/A	N/A	N/A
Stran & Company, Inc.	-2.19%	-7.47%	-4.37%

About CMG Holdings Group

CMG Holdings Group, Inc., a marketing communications company, operates organizations in the alternative advertising, digital media, experiential and interactive marketing, and entertainment industries in the United States. It operates through XA The Experiential Agency, Inc.; and CMG Holding Group segments. The company is involved in the production and promotion, event design, sponsorship evaluation, negotiation and activation, talent buying, show production, stage and set design, and data analysis and management activities. It also offers branding and design services, such as graphic, industrial and package designs across traditional and new media, public relations, social media, media development and relations, and interactive marketing platforms to provide its clients with customary private digital media networks for the design and development of individual broadcasting digital media channels, as well as to sell, promote, and enhance their digital media video content through mobile, online, and social mediums. In addition, the company develops, manages, and executes sales promotion programs. It serves clients operating in the marketing communication industry. The company was formerly known as CMG Holdings, Inc. and changed its name to CMG Holdings Group, Inc. in October 2011. CMG Holdings Group, Inc. was founded in 2002 and is based in Chicago, Illinois.

About Stran & Company, Inc.

Stran & Co., Inc. engages in the provision of promotional marketing and branded merchandise services. It offers promotional product, custom manufacturing, custom packaging, warehousing, and program management. The company was founded by Andrew Shape and Andrew Stranberg in 1994 and is headquartered in Quincy, MA.