Financial Contrast: Mogo (NASDAQ:MOGO) & Mercurity Fintech (NASDAQ:MFH)

Mercurity Fintech (NASDAQ:MFH) and Mogo (NASDAQ:MOGO) are both small-cap business services companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, earnings, risk, dividends, valuation, analyst recommendations and profitability.

Volatility & Risk

Mercurity Fintech has a beta of 1.96, indicating that its stock price is 96% more volatile than the S&P 500. Comparatively, Mogo has a beta of 2.79, indicating that its stock price is 179% more volatile than the S&P 500.

Earnings and Valuation

This table compares Mercurity Fintech and Mogo’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mercurity Fintech	$450,000.00	202.75	-$9.36 million	N/A	N/A
Mogo	$48.31 million	0.72	-$13.25 million	($0.45)	-3.18

Mercurity Fintech has higher earnings, but lower revenue than Mogo.

Analyst Ratings

This is a breakdown of recent recommendations for Mercurity Fintech and Mogo, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mercurity Fintech	0	0	0	0	N/A
Mogo	0	0	1	0	3.00

Mogo has a consensus price target of $8.00, suggesting a potential upside of 459.44%. Given Mogo’s higher possible upside, analysts clearly believe Mogo is more favorable than Mercurity Fintech.

Institutional & Insider Ownership

30.8% of Mercurity Fintech shares are owned by institutional investors. Comparatively, 14.8% of Mogo shares are owned by institutional investors. 62.8% of Mercurity Fintech shares are owned by insiders. Comparatively, 12.3% of Mogo shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Mercurity Fintech and Mogo’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mercurity Fintech	N/A	N/A	N/A
Mogo	-21.98%	-16.00%	-7.23%

Summary

Mercurity Fintech beats Mogo on 7 of the 11 factors compared between the two stocks.

About Mercurity Fintech

Mercurity Fintech Holding Inc. operates as a fintech company powered by blockchain. The company provides digital asset trading infrastructure solutions based on internet and blockchain technologies for cryptocurrency traders; and asset digitalization platform, which offers blockchain-based digitalization solutions for traditional assets, such as fiat currencies, bonds, and precious metals. It also offers cryptocurrency mining services that provides computing power to the mining pool; and digital consultation services, such as digital payment solutions, asset management, and online and traditional brokerage services. The company was formerly known as JMU Limited and changed its name to Mercurity Fintech Holding Inc. in April 2020. Mercurity Fintech Holding Inc. was incorporated in 2011 and is headquartered in New York, New York.

About Mogo

Mogo Inc. operates as a digital finance company in Canada, Europe, and internationally. The company's digital solutions help build wealth and achieve financial freedom. It provides MogoTrade, a stock trading app; Moka; and MogoMoney that provides online personal loans. The company also offers digital loans and mortgages; and operates a digital payments platform that powers next-generation card programs for both global corporations and fintech companies in Europe and Canada. Mogo Inc. is headquartered in Vancouver, Canada.