Contrasting GameSquare (NASDAQ:GAME) & GCL Global (NASDAQ:GCL)

GameSquare (NASDAQ:GAME) and GCL Global (NASDAQ:GCL) are both small-cap consumer discretionary companies, but which is the superior investment? We will contrast the two businesses based on the strength of their dividends, risk, analyst recommendations, earnings, profitability, institutional ownership and valuation.

Earnings & Valuation

This table compares GameSquare and GCL Global”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GameSquare	$45.00 million	1.30	-$40.10 million	($0.55)	-1.11
GCL Global	$142.07 million	0.45	$5.59 million	($0.02)	-26.37

GCL Global has higher revenue and earnings than GameSquare. GCL Global is trading at a lower price-to-earnings ratio than GameSquare, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

GameSquare has a beta of 0.82, meaning that its share price is 18% less volatile than the S&P 500. Comparatively, GCL Global has a beta of 0.42, meaning that its share price is 58% less volatile than the S&P 500.

Insider & Institutional Ownership

64.3% of GameSquare shares are held by institutional investors. Comparatively, 36.6% of GCL Global shares are held by institutional investors. 5.1% of GameSquare shares are held by company insiders. Comparatively, 49.4% of GCL Global shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares GameSquare and GCL Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GameSquare	-60.09%	-54.32%	-19.19%
GCL Global	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent recommendations for GameSquare and GCL Global, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GameSquare	2	0	0	0	1.00
GCL Global	1	0	0	0	1.00

Summary

GCL Global beats GameSquare on 7 of the 11 factors compared between the two stocks.

About GameSquare

GameSquare Holdings, Inc. operates as a vertically integrated digital media, entertainment, and technology company. Its platform to connect with gaming and youth culture audiences. The company’s end-to-end platform includes Code Red Esports Ltd., an esports talent agency; GCN, a digital media company focusing on the gaming and esports audience; Zoned, a gaming and lifestyle marketing agency; Complexity Gaming, a esports organization operating; Fourth Frame Studios, a creative production studio; and Mission Supply, a merchandise and consumer products business; Frankly Media, programmatic advertising, Stream Hatchet, live streaming analytics, and Sideqik a social influencer marketing platform. The company also engages in providing marketing and creative services, offering leading data and analytics solutions. The company was formerly known as Engine Gaming & Media, Inc. GameSquare Holdings, Inc. is headquartered in Frisco, Texas.

About GCL Global

GCL Global Holdings Ltd. unites people through immersive games and entertainment experiences, enabling creators to deliver engaging content and fun gameplay experiences to gaming communities worldwide with a strategic focus on the rapidly expanding Asian gaming market.

Drawing on a deep understanding of gaming trends and market dynamics, GCL Group leverages its diverse portfolio of digital and physical content to bridge cultures and audiences by introducing Asian-developed IP to a global audience across consoles, PCs, and streaming platforms.