Analyzing Crexendo (NASDAQ:CXDO) and Metalpha Technology (NASDAQ:MATH)

Crexendo (NASDAQ:CXDO) and Metalpha Technology (NASDAQ:MATH) are both small-cap computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their earnings, analyst recommendations, profitability, risk, valuation, institutional ownership and dividends.

Institutional and Insider Ownership

9.5% of Crexendo shares are held by institutional investors. Comparatively, 30.5% of Metalpha Technology shares are held by institutional investors. 47.2% of Crexendo shares are held by company insiders. Comparatively, 5.9% of Metalpha Technology shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility & Risk

Crexendo has a beta of 0.94, indicating that its share price is 6% less volatile than the S&P 500. Comparatively, Metalpha Technology has a beta of -0.68, indicating that its share price is 168% less volatile than the S&P 500.

Profitability

This table compares Crexendo and Metalpha Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Crexendo	7.44%	13.74%	11.22%
Metalpha Technology	N/A	N/A	N/A

Valuation & Earnings

This table compares Crexendo and Metalpha Technology”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Crexendo	$68.17 million	3.01	$5.07 million	$0.17	38.76
Metalpha Technology	$44.57 million	1.02	$15.90 million	N/A	N/A

Metalpha Technology has lower revenue, but higher earnings than Crexendo.

Analyst Recommendations

This is a summary of current recommendations and price targets for Crexendo and Metalpha Technology, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Crexendo	0	1	4	0	2.80
Metalpha Technology	1	0	0	0	1.00

Crexendo currently has a consensus price target of $9.40, indicating a potential upside of 42.64%. Given Crexendo’s stronger consensus rating and higher probable upside, research analysts clearly believe Crexendo is more favorable than Metalpha Technology.

Summary

Crexendo beats Metalpha Technology on 10 of the 12 factors compared between the two stocks.

About Crexendo

Crexendo, Inc. provides cloud communication platform and services, video collaboration, and managed IT services for businesses in the United States and internationally. It operates through two segments, Cloud Telecommunications Services and Software Solutions. The Cloud Telecommunications segment provides telecommunications services that transmit calls using Internet protocol (IP) or cloud technology, which converts voice signals into digital data packets for transmission over the Internet or cloud; and broadband Internet services, as well as develops end user portals for account and license management, and billing and customer support. This segment is also involved in the sale and lease of cloud telecommunications equipment. In addition, it offers hardware, software, and unified communication solutions for businesses using IP or cloud technology over high-speed internet connection through various devices and user interfaces, such as desktop phones and/or mobile, and desktop applications under the Crexendo brand name. The Software Solutions segment provides a suite of unified communications, collaboration, video conferencing, and contact center solutions. This segment also offers SNAPsolution, an IP-based platform; SNAPaccel, a software-as-a-service based software; subscription maintenance and support services; and professional services, including consulting, technical support, resident engineer, design, and installation services. The company was formerly known as iMergent, Inc. and changed its name to Crexendo, Inc. in May 2011. Crexendo, Inc. was incorporated in 1995 and is based in Tempe, Arizona.

About Metalpha Technology

Metalpha Technology Holding Limited, together with its subsidiaries, provides wealth management services in Hong Kong. The company offers digital asset-based wealth management services, which include issuing traditional financial and cryptocurrency derivative products to over-the-counter clients, providing crypto derivative market making services, and proprietary trading of digital assets and crypto derivative products; and securities advising and asset management services. It serves institutional investors and high-net-worth individuals. The company was formerly known as Dragon Victory International Limited and changed its name to Metalpha Technology Holding Limited in November 2022. The company was incorporated in 2015 and is headquartered in Wan Chai, Hong Kong.