Critical Analysis: Marubeni (OTCMKTS:MARUY) vs. TROOPS (NASDAQ:TROO)

Marubeni (OTCMKTS:MARUY) and TROOPS (NASDAQ:TROO) are both multi-sector conglomerates companies, but which is the better stock? We will compare the two companies based on the strength of their earnings, risk, valuation, profitability, institutional ownership, dividends and analyst recommendations.

Insider and Institutional Ownership

0.1% of Marubeni shares are owned by institutional investors. 1.1% of TROOPS shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Marubeni and TROOPS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Marubeni	6.52%	13.84%	5.68%
TROOPS	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent ratings and recommmendations for Marubeni and TROOPS, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Marubeni	0	0	0	1	4.00
TROOPS	0	0	0	0	0.00

Volatility and Risk

Marubeni has a beta of 0.69, indicating that its stock price is 31% less volatile than the S&P 500. Comparatively, TROOPS has a beta of 2.84, indicating that its stock price is 184% more volatile than the S&P 500.

Valuation and Earnings

This table compares Marubeni and TROOPS”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Marubeni	$51.16 billion	0.80	$3.32 billion	$20.81	11.79
TROOPS	$10.07 million	15.31	-$13.41 million	N/A	N/A

Marubeni has higher revenue and earnings than TROOPS.

Summary

Marubeni beats TROOPS on 8 of the 11 factors compared between the two stocks.

About Marubeni

Marubeni Corporation engages in various business activities. It manufactures, wholesales, and retails apparel, footwear, home furnishing and sport goods, industrial and textile materials, tire and rubber materials, and household and nursing care products; develops uranium, nuclear fuel cycle, iron ore, coking coal, copper mines, and related equipment and services; smelts and refines aluminum and magnesium; leases temporary steel construction materials; explores for, develops, and produces oil and gas; manages infrastructure funds; and develops and manages real estate. The company also offers insurance, technical, ICT, and logistic services; agri-inputs; fertilizer and crop protection product contracting services; crop protection product formulations; wood chips, biomass fuels, pulp and waste papers, paper, paperboards, sanitary, and building and construction materials; engineering, procurement, and construction services; and operation and maintenance services. It trades in fertilizers, dairy, agricultural, and marine products; sugar, processed food, beverages raw materials, and commercial use food materials; grains, oilseeds, feed ingredients, compound feeds, fresh and processed meat, petrochemicals, plastics, salts, chlor-alkalis, life science products, electronic materials, fertilizer materials, and inorganic mineral resources and chemicals; steelmaking raw materials, ferroalloys, nonferrous metals, and steel products; cement and ingots related materials; and petroleum and LPG. The company engages in infrastructure; water; automotive finance; power generation; power service and retail; natural gas; hydrogen; and fuel ammonia businesses. It owns, purchases, operates, leases, sells, and charters aerospace and ship products; leases refrigerated trailers, commercial vehicles, and freight cars; and sells, trades in, leases, finances, and services construction and industrial machinery, and mobility products. The company was founded in 1858 and is based in Tokyo, Japan.

About TROOPS

TROOPS, Inc., together with its subsidiaries, engages in the money lending business in Hong Kong and Australia. The company provides mortgage, personal, and corporate loans; operates online financial marketplace through a platform for money lending, system integration, and consultation services; and invests in real estate properties in Hong Kong. It also offers fintech and IT support services, which includes artificial intelligence, big data and blockchain technology, machine learning, fingerprint ID, facial recognition, and cloud computing, and GFS strives; and engages in property leasing and management services. The company was formerly known as SGOCO Group, Ltd. and changed its name to TROOPS, Inc. in November 2021. TROOPS, Inc. was founded in 2005 and is headquartered in Tsuen Wan, Hong Kong.