Analyzing Onfolio (NASDAQ:ONFO) & TaskUs (NASDAQ:TASK)

Onfolio (NASDAQ:ONFO) and TaskUs (NASDAQ:TASK) are both small-cap retail/wholesale companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, earnings, profitability, analyst recommendations, risk, institutional ownership and dividends.

Analyst Ratings

This is a breakdown of current ratings for Onfolio and TaskUs, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Onfolio	0	0	0	0	0.00
TaskUs	1	3	4	0	2.38

TaskUs has a consensus price target of $17.00, suggesting a potential upside of 3.22%. Given TaskUs’ stronger consensus rating and higher probable upside, analysts plainly believe TaskUs is more favorable than Onfolio.

Insider & Institutional Ownership

0.8% of Onfolio shares are held by institutional investors. Comparatively, 44.6% of TaskUs shares are held by institutional investors. 39.0% of Onfolio shares are held by company insiders. Comparatively, 29.3% of TaskUs shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Onfolio and TaskUs”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Onfolio	$6.59 million	0.95	-$8.15 million	($0.60)	-2.03
TaskUs	$955.01 million	1.54	$45.69 million	$0.59	27.92

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

Profitability

This table compares Onfolio and TaskUs’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Onfolio	-41.50%	-55.89%	-33.86%
TaskUs	5.58%	17.73%	9.17%

Summary

TaskUs beats Onfolio on 12 of the 13 factors compared between the two stocks.

About Onfolio

Onfolio Holdings, Inc. acquires and develops internet businesses. It provides website management, digital, advertising, and content placement services on its websites; and product sales on various sites. The company was founded in 2019 and is based in Wilmington, Delaware.

About TaskUs

TaskUs, Inc. provides digital outsourcing services for companies in Philippines, the United States, India, and internationally. It offers digital customer experience that consists of omni-channel customer care services primarily delivered through non-voice digital channels; and other solutions, including experience and customer care services for new product or market launches, and customer acquisition solutions. The company also provides trust and safety solutions, such as review and disposition of user and advertiser generated visual, text, and audio content, which include removal or labeling of policy violating, and offensive or misleading content, as well as risk management, compliance, identity management, and fraud services; and artificial intelligence (AI) solutions that consist of data labeling, annotation, context relevance, and transcription services for training and tuning machine learning algorithms that enables to develop AI systems. It serves clients in various industry segments comprising e-commerce, FinTech, food delivery and ride sharing, gaming, technology, HealthTech, social media, and streaming media. The company was formerly known as TU TopCo, Inc. and changed its name to TaskUs, Inc. in December 2020. TaskUs, Inc. was founded in 2008 and is headquartered in New Braunfels, Texas.