Head to Head Analysis: Kidoz (OTCMKTS:KDOZF) and Light & Wonder (NASDAQ:LNW)

Kidoz (OTCMKTS:KDOZF) and Light & Wonder (NASDAQ:LNW) are both consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, valuation, risk and earnings.

Profitability

This table compares Kidoz and Light & Wonder’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kidoz	2.33%	4.76%	3.52%
Light & Wonder	10.89%	71.17%	8.73%

Valuation and Earnings

This table compares Kidoz and Light & Wonder”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kidoz	$14.01 million	1.61	$350,000.00	N/A	N/A
Light & Wonder	$3.19 billion	2.47	$336.00 million	$3.96	23.67

Light & Wonder has higher revenue and earnings than Kidoz.

Institutional & Insider Ownership

88.1% of Light & Wonder shares are owned by institutional investors. 20.5% of Kidoz shares are owned by company insiders. Comparatively, 2.2% of Light & Wonder shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Volatility and Risk

Kidoz has a beta of -3.13, indicating that its stock price is 413% less volatile than the S&P 500. Comparatively, Light & Wonder has a beta of 1.21, indicating that its stock price is 21% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Kidoz and Light & Wonder, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kidoz	0	0	0	0	0.00
Light & Wonder	1	4	7	2	2.71

Light & Wonder has a consensus price target of $108.10, indicating a potential upside of 15.34%. Given Light & Wonder’s stronger consensus rating and higher possible upside, analysts clearly believe Light & Wonder is more favorable than Kidoz.

Summary

Light & Wonder beats Kidoz on 12 of the 13 factors compared between the two stocks.

About Kidoz

Kidoz Inc. develops and sells AdTech software products in Western Europe; Central, Eastern, and Southern Europe; North America; and internationally. The company also owns and develops mobile Kidoz safe ad network, the Kidoz kid-mode operating system, the Kidoz publisher SDK, the Rooplay edugames platform, and the Rooplay originals. In addition, it offers Rooplay, the cloud-based EduGame system for kids to learn and play. The company was formerly known as Shoal Games Ltd. and changed its name to Kidoz Inc. in April 2019. Kidoz Inc. was incorporated in 1987 and is based in Vancouver, Canada.

About Light & Wonder

Light & Wonder, Inc. is a cross-platform global games company, which engages in the development of content and digital markets. It operates through the following segments: Gaming, SciPlay, and iGaming. The Gaming segment includes the design, manufacture, marketing, and distribution of portfolio of gaming products and services. The SciPlay segment involves the development and publishing of digital games on mobile and web platforms. The iGaming segment focuses on the provision of digital gaming content, distribution platforms, player account management systems, and services. The company was founded on July 2, 1984 and is headquartered in Las Vegas, NV.