Analyzing Great Elm Group (NASDAQ:GEG) & Benev Capital (OTCMKTS:BEVFF)

Great Elm Group (NASDAQ:GEG) and Benev Capital (OTCMKTS:BEVFF) are both small-cap multi-sector conglomerates companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, institutional ownership, dividends, profitability, analyst recommendations and earnings.

Profitability

This table compares Great Elm Group and Benev Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Great Elm Group	79.01%	-0.20%	-0.10%
Benev Capital	41.88%	11.86%	5.83%

Earnings and Valuation

This table compares Great Elm Group and Benev Capital”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Great Elm Group	$16.32 million	4.89	$12.89 million	$0.32	8.59
Benev Capital	$47.44 million	9.38	$19.43 million	$0.12	21.83

Benev Capital has higher revenue and earnings than Great Elm Group. Great Elm Group is trading at a lower price-to-earnings ratio than Benev Capital, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Great Elm Group has a beta of 0.78, meaning that its share price is 22% less volatile than the S&P 500. Comparatively, Benev Capital has a beta of 0.9, meaning that its share price is 10% less volatile than the S&P 500.

Institutional and Insider Ownership

52.8% of Great Elm Group shares are held by institutional investors. 51.8% of Great Elm Group shares are held by insiders. Comparatively, 12.0% of Benev Capital shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of current recommendations and price targets for Great Elm Group and Benev Capital, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Great Elm Group	0	0	0	0	0.00
Benev Capital	0	1	0	0	2.00

Summary

Benev Capital beats Great Elm Group on 8 of the 12 factors compared between the two stocks.

About Great Elm Group

Great Elm Group, Inc. operates as a asset management company. The company engages in credit, real estate, and finance businesses. It is also involved in business development related activities and offers investment management services. The company was formerly known as Great Elm Capital Group, Inc. and changed its name to Great Elm Group, Inc. in December 2020. Great Elm Group, Inc. was incorporated in 1994 and is headquartered in Waltham, Massachusetts.

About Benev Capital

Diversified Royalty Corp., a multi-royalty corporation, engages in the acquisition of royalties from multi-location businesses and franchisors in North America. It owns the Sutton, Mr. Lube + Tires, AIR MILES, Mr. Mikes, Nurse Next Door, Oxford Learning Centres, Stratus Building Solutions, and BarBurrito trademarks. The company was formerly known as BENEV Capital Inc. and changed its name to Diversified Royalty Corp. in September 2014. Diversified Royalty Corp. was founded in 1960 and is headquartered in Vancouver, Canada.