Head-To-Head Analysis: ZIP (OTCMKTS:ZIZTF) and OppFi (NYSE:OPFI)

ZIP (OTCMKTS:ZIZTF) and OppFi (NYSE:OPFI) are both financial services companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, profitability, analyst recommendations, valuation, risk, dividends and institutional ownership.

Institutional and Insider 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, endowments and hedge funds believe a company will outperform the market over the long term.

Profitability

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

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

Valuation and Earnings

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

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

ZIP has higher earnings, but lower revenue than OppFi.

Analyst Recommendations

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ZIP	0	1	0	0	2.00
OppFi	0	0	2	0	3.00

OppFi has a consensus target price of $4.25, suggesting a potential upside of 39.80%. Given OppFi’s stronger consensus rating and higher probable upside, analysts clearly believe OppFi is more favorable than ZIP.

Summary

OppFi beats ZIP on 8 of the 9 factors compared between the two stocks.

About ZIP

Zip Co Limited engages in the provision of digital retail finance and payments solutions to consumers, and small and medium sized merchants (SMEs) in Australia, New Zealand, Canada, and the United States. The company offers Buy Now Pay Later services, which offer line of credit and installment products to consumers through online and in-store. It also provides unsecured loans and lines of credit to SMEs. The company was formerly known as ZipMoney Limited and changed its name to Zip Co Limited in December 2017. Zip Co Limited was incorporated in 2009 and is headquartered in Sydney, Australia.

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.