Analyzing Atlanticus (NASDAQ:ATLCP) & OppFi (NYSE:OPFI)

Atlanticus (NASDAQ:ATLCP) and OppFi (NYSE:OPFI) are both financial services companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, analyst recommendations, institutional ownership, dividends, valuation and profitability.

Insider & Institutional Ownership

7.1% of OppFi shares are held by institutional investors. 87.2% of OppFi shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares Atlanticus and OppFi’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Atlanticus	$256.34 million	N/A	N/A	N/A	N/A
OppFi	$508.95 million	0.66	-$1.00 million	($0.02)	-151.92

Atlanticus has higher earnings, but lower revenue than OppFi.

Profitability

This table compares Atlanticus and OppFi’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Atlanticus	N/A	N/A	N/A
OppFi	-0.20%	23.92%	7.41%

Analyst Recommendations

This is a summary of current recommendations for Atlanticus and OppFi, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Atlanticus	0	0	0	0	N/A
OppFi	0	0	2	0	3.00

OppFi has a consensus price target of $4.25, indicating a potential upside of 39.80%. Given OppFi’s higher probable upside, analysts clearly believe OppFi is more favorable than Atlanticus.

Summary

OppFi beats Atlanticus on 7 of the 8 factors compared between the two stocks.

About Atlanticus

Atlanticus Holdings Corporation, a financial technology company, provides credit and related financial services and products to customers the United States. It operates in two segments, Credit as a Service, and Auto Finance. The Credit as a Service segment originates a range of consumer loan products, such as private label and general purpose credit cards originated by lenders through various channels, including retail and healthcare, direct mail solicitation, digital marketing, and partnerships with third parties; and offers credit to their customers for the purchase of various goods and services, including consumer electronics, furniture, elective medical procedures, healthcare, and home-improvements by partnering with retailers, healthcare providers, and other service providers. This segment also offers loan servicing, such as risk management and customer service outsourcing for third parties; and engages in testing and investment activities in consumer finance technology platforms. The Auto Finance segment purchases and/or services loans secured by automobiles from or for a pre-qualified network of independent automotive dealers and automotive finance companies in the buy-here, pay-here, and used car business. This segment also provides floor plan financing and installment lending products. It also invests in and services portfolios of credit card receivables. The company was founded in 1996 and is headquartered in Atlanta, Georgia.

About OppFi

OppFi Inc. operates a cialty finance platform that allows banks to offer credit access. Its platform facilitates the OppLoans, an installment loan product; SalaryTap, a payroll deduction secured installment loan product; and OppFi Card, a credit card product. OppFi Inc. was founded in 2012 and is headquartered in Chicago, Illinois.