LendingTree (NASDAQ:TREE – Get Free Report) and Jiayin Group (NASDAQ:JFIN – Get Free Report) are both small-cap finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, risk, profitability, institutional ownership, analyst recommendations, dividends and earnings.
Earnings and Valuation
This table compares LendingTree and Jiayin Group”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| LendingTree | $1.12 billion | 0.47 | $151.31 million | $7.02 | 5.27 |
| Jiayin Group | $889.76 million | 0.08 | $219.61 million | $0.64 | 2.23 |
Jiayin Group has lower revenue, but higher earnings than LendingTree. Jiayin Group is trading at a lower price-to-earnings ratio than LendingTree, indicating that it is currently the more affordable of the two stocks.
Insider & Institutional Ownership
68.3% of LendingTree shares are owned by institutional investors. Comparatively, 44.1% of Jiayin Group shares are owned by institutional investors. 4.0% of LendingTree shares are owned by insiders. Comparatively, 51.2% of Jiayin Group shares are owned by 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.
Profitability
This table compares LendingTree and Jiayin Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| LendingTree | 14.33% | 14.57% | 4.49% |
| Jiayin Group | 5.39% | 5.02% | 2.57% |
Analyst Recommendations
This is a breakdown of recent ratings and target prices for LendingTree and Jiayin Group, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| LendingTree | 0 | 2 | 4 | 0 | 2.67 |
| Jiayin Group | 1 | 0 | 0 | 0 | 1.00 |
LendingTree currently has a consensus target price of $53.60, indicating a potential upside of 44.83%. Given LendingTree’s stronger consensus rating and higher probable upside, analysts plainly believe LendingTree is more favorable than Jiayin Group.
Volatility and Risk
LendingTree has a beta of 1.99, indicating that its share price is 99% more volatile than the S&P 500. Comparatively, Jiayin Group has a beta of 0.89, indicating that its share price is 11% less volatile than the S&P 500.
Summary
LendingTree beats Jiayin Group on 12 of the 14 factors compared between the two stocks.
About LendingTree
LendingTree, Inc., through its subsidiary, operates online consumer platform in the United States. It operates through three segments: Home, Consumer, and Insurance. The Home segment offers purchase mortgage, refinance mortgage, and home equity loans and lines of credit; and real estate brokerage services. The Consumer segment provides credit cards; personal, small business, student, and auto loans; deposit accounts; and other credit products, such as debt settlement services. The Insurance segment includes information, tools, and access to insurance quote products, including home, automobile, and health and Medicare through which consumers are matched with insurance lead aggregators to obtain insurance offers and policies. In addition, the company offers QuoteWizard, a marketplace for insurance comparison; ValuePenguin, a personal finance website that offers consumers objective analysis on various financial topics from insurance to credit cards; and Stash, a consumer investing and banking platform that offers a suite of personal investment accounts, traditional and Roth IRAs, custodial investment accounts, and banking services, including checking accounts and debit cards with a Stock-Back rewards program. The company was formerly known as Tree.com, Inc. and changed its name to LendingTree, Inc. in January 2015. LendingTree, Inc. was incorporated in 1996 and is based in Charlotte, North Carolina.
About Jiayin Group
Jiayin Group Inc., together with its subsidiaries, provides online consumer finance services in the People's Republic of China. The company operates a fintech platform that facilitates connections between individual borrowers and financial institutions. It also offers referral services for investment products offered by the financial service providers; and technology development and services, as well as guarantee services. The company was founded in 2011 and is headquartered in Shanghai, the People's Republic of China. Jiayin Group Inc. operates as a subsidiary of New Dream Capital Holdings Limited.
Receive News & Ratings for LendingTree Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for LendingTree and related companies with MarketBeat.com's FREE daily email newsletter.
