Head-To-Head Survey: Cantaloupe (NASDAQ:CTLP) and Paypoint (OTCMKTS:PYPTF)

Paypoint (OTCMKTS:PYPTF) and Cantaloupe (NASDAQ:CTLP) are both small-cap business services companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, dividends, earnings, profitability, risk and institutional ownership.

Volatility & Risk

Paypoint has a beta of 0.37, suggesting that its share price is 63% less volatile than the S&P 500. Comparatively, Cantaloupe has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500.

Insider and Institutional Ownership

75.8% of Cantaloupe shares are held by institutional investors. 7.1% of Cantaloupe shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Paypoint and Cantaloupe, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paypoint	0	0	0	0	0.00
Cantaloupe	1	7	0	0	1.88

Cantaloupe has a consensus target price of $12.73, indicating a potential upside of 19.11%. Given Cantaloupe’s stronger consensus rating and higher probable upside, analysts plainly believe Cantaloupe is more favorable than Paypoint.

Earnings & Valuation

This table compares Paypoint and Cantaloupe”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paypoint	$391.23 million	1.17	$24.49 million	N/A	N/A
Cantaloupe	$312.57 million	2.52	$64.53 million	$0.21	50.90

Cantaloupe has lower revenue, but higher earnings than Paypoint.

Profitability

This table compares Paypoint and Cantaloupe’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paypoint	N/A	N/A	N/A
Cantaloupe	21.33%	10.43%	6.62%

Summary

Cantaloupe beats Paypoint on 10 of the 11 factors compared between the two stocks.

About Paypoint

PayPoint plc engages in the provision of payments and banking, shopping, and e-commerce services and products in the United Kingdom. The company operates through two segments: PayPoint and Love2shop. The PayPoint segment provides card payment services to retailers, including leased payment devices; EPoS; ATM cash machines; SIM cards sales; receipt advertising; bill payment services and cash top-ups to individual consumers; parcel delivery and collection services; retailer service fees solutions; and digital payment services, as well as cash through to digital services. The segment offers its products under PayPoint One, eMoney, MultiPay, CashOut, and Direct Debits platforms. The Love2shop segment is involved in the provision of shopping vouchers, cards, and e-codes which customers may redeem with participating retailers; and Christmas savings club, to which customers make regular payments throughout the year to help spread the cost of Christmas, before converting to a voucher. It serves consumers, SMEs, and convenience retailers in the commercial, not-for-profit, and public sectors. The company was founded in 1996 and is headquartered in Welwyn Garden City, the United Kingdom.

About Cantaloupe

Cantaloupe, Inc., a digital payments and software services company, provides technology solutions for self-service commerce market. The company offers integrated solutions for payments processing, logistics, and back-office management. It also provides G11 cashless and pulse kits that are 4G LTE digital payment devices for payment and consumer engagement applications; G11 chip kit, a digital reader that accepts contact EMV and contactless EMV payment methods; Engage series comprising Engage and Engage Combo, which are digital touchscreen devices that offers networking, security, and interactivity payment methods; and card touchscreen card readers, including P66, P100, P100Pro, and P30. In addition, the company offers self-checkout kiosks,?smart store?concepts, and the Cantaloupe Go management platform comprising Go Mini, Go MiniX, Go Plus100, Go Plus200, Go Plus300, Go Max, Cooler Cafe, and Smart Market; Go Portal, a robust cloud-based platform; and Cheq products, which supports attended and unattended self-service kiosks for the stadium, entertainment, and festival sectors. Further, it provides integrated software services for payment or asset tracking devices in the field to connect into platform for advanced data management, analytics, route scheduling, and loyalty and reward programs; and a range of self-service hardware solutions for vending, micro-markets, amusement, arcade, commercial laundry, air/vacuum, car wash, and other applications. Additionally, the company offers professional, network infrastructure, card processing, and customer/consumer services. Cantaloupe, Inc. was formerly known as USA Technologies, Inc. The company was incorporated in 1992 and is headquartered in Malvern, Pennsylvania.