Financial Contrast: Nayax (NASDAQ:NYAX) versus Paymentus (NYSE:PAY)

Nayax (NASDAQ:NYAX) and Paymentus (NYSE:PAY) are both business services companies, but which is the superior stock? We will contrast the two businesses based on the strength of their earnings, dividends, institutional ownership, risk, profitability, analyst recommendations and valuation.

Earnings & Valuation

This table compares Nayax and Paymentus”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nayax	$314.01 million	4.76	-$5.63 million	$0.57	73.95
Paymentus	$871.74 million	4.10	$44.17 million	$0.43	66.36

Paymentus has higher revenue and earnings than Nayax. Paymentus is trading at a lower price-to-earnings ratio than Nayax, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Nayax and Paymentus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nayax	6.06%	5.32%	1.82%
Paymentus	5.37%	12.63%	10.69%

Analyst Recommendations

This is a summary of current recommendations and price targets for Nayax and Paymentus, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nayax	1	2	3	0	2.33
Paymentus	0	5	4	0	2.44

Nayax currently has a consensus price target of $46.67, indicating a potential upside of 10.72%. Paymentus has a consensus price target of $37.00, indicating a potential upside of 29.67%. Given Paymentus’ stronger consensus rating and higher possible upside, analysts clearly believe Paymentus is more favorable than Nayax.

Risk & Volatility

Nayax has a beta of 0.21, suggesting that its share price is 79% less volatile than the S&P 500. Comparatively, Paymentus has a beta of 1.51, suggesting that its share price is 51% more volatile than the S&P 500.

Insider & Institutional Ownership

34.9% of Nayax shares are owned by institutional investors. Comparatively, 78.4% of Paymentus shares are owned by institutional investors. 75.4% of Paymentus shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

Paymentus beats Nayax on 10 of the 14 factors compared between the two stocks.

About Nayax

Nayax Ltd., a fintech company, operates system and payment platform for multiple retailers in the United States, Europe, the United Kingdom, Australia, Israel, and rest of the world. The company offers AMIT 3.0, a machine-to-machine vending telemetry solution; Nayax Core, a management and monitoring software for vending machines and other unattended machines; MoMa, a mobile app for unattended machine; Tigapo back-office software suite, a cloud-based platform; EV Core, a smart, cloud-based management platform; Retail Management Cloud, a comprehensive attended retail management platform; Loyalty and Marketing Suite, a consumer engagement marketing and loyalty platform; Monyx Wallet, a digital wallet app enabling cashless payments with mobile phones; Weezmo, a consumer engagement and marketing platform; and Tigapo app, a proprietary mobile app to help family entertainment center businesses. It provides electric vehicle charging stations; VPOS Touch, a credit card reader cashless payment device; VPOS Fusion, a cashless payment card reader; ONYX, a contactless card reader and telemetry device; NOVA 156, an electronic cash register; DOT, a smart QR and barcode reader; UNO Plus and UNO 8, which are EMV and FeliCa contactless readers; EMV SOM, a PCI-PTS ready contactless EMV reader module; Nova Market, a cashless micro market and self-checkout solution; NOVA 55, an a handheld smart point of sale (POS) device; NOVA 45, a handheld mini smart terminals for attended POS; and Retail One, a universal retail solution that integrates directly with SAP. The company sells its products directly, as well as through resellers and distributors. It serves various verticals, including vending machines, coffee machines, unattended checkout counters, self-service kiosks, ticketing machines, car wash stations, gaming machines, amusement rides, laundromats, and EV charging stations. Nayax Ltd. was incorporated in 2005 and is headquartered in Herzliya, Israel.

About Paymentus

Paymentus Holdings, Inc. provides cloud-based bill payment technology and solutions in the United States and internationally. The company offers electronic bill presentment and payment services, enterprise customer communication, and self-service revenue management to billers through a software-as-a-service technology platform. Its platform's payment processing includes credit cards, debit cards, eChecks, and digital wallets. It serves utility, financial service, government, insurance, telecommunication, real estate management, education, consumer finance, healthcare, and small business industries. The company was founded in 2004 and is headquartered in Charlotte, North Carolina.