Reviewing Skillz (NYSE:SKLZ) & Super League Enterprise (NASDAQ:SLE)

Super League Enterprise (NASDAQ:SLE) and Skillz (NYSE:SKLZ) are both small-cap consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, risk, analyst recommendations, profitability, institutional ownership, valuation and earnings.

Profitability

This table compares Super League Enterprise and Skillz’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Super League Enterprise	-130.97%	-1,169.11%	-156.77%
Skillz	-69.44%	-43.98%	-20.33%

Volatility and Risk

Super League Enterprise has a beta of 1.94, suggesting that its stock price is 94% more volatile than the S&P 500. Comparatively, Skillz has a beta of 2.93, suggesting that its stock price is 193% more volatile than the S&P 500.

Insider & Institutional Ownership

2.1% of Super League Enterprise shares are owned by institutional investors. Comparatively, 19.4% of Skillz shares are owned by institutional investors. 0.8% of Super League Enterprise shares are owned by insiders. Comparatively, 30.4% of Skillz shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Super League Enterprise and Skillz”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Super League Enterprise	$16.18 million	0.65	-$16.64 million	($34.82)	-0.03
Skillz	$95.47 million	0.90	-$46.79 million	($4.14)	-1.36

Super League Enterprise has higher earnings, but lower revenue than Skillz. Skillz is trading at a lower price-to-earnings ratio than Super League Enterprise, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current ratings and target prices for Super League Enterprise and Skillz, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Super League Enterprise	1	0	1	0	2.00
Skillz	1	0	1	0	2.00

Skillz has a consensus target price of $15.00, indicating a potential upside of 167.14%. Given Skillz’s higher possible upside, analysts clearly believe Skillz is more favorable than Super League Enterprise.

Summary

Skillz beats Super League Enterprise on 10 of the 12 factors compared between the two stocks.

About Super League Enterprise

Super League Enterprise, Inc. creates and publishes content and media solutions across immersive platforms in the United States and internationally. The company offers access to audiences who gather in immersive digital spaces to socialize, play, explore, collaborate, shop, learn, and create. It also provides a range of development, distribution, monetization, and optimization capabilities designed to engage users through dynamic and energized programs. Its proprietary cloud-based platform offers dynamic media technology; metaverse game experience and tournament technology; and fully remote production and livestream broadcast technology. In addition, the company operates Minecraft server world for more casual players on consoles and tablets. Further, it sells on-platform media and analytics products, and influencer marketing campaign sales to third-party brands and agencies; game development and custom game experiences within its owned and affiliate game worlds; and production, curation and distribution of entertainment content for its network of digital channels and media and entertainment partner channels. The company was formerly known as Super League Gaming, Inc. and changed its name to Super League Enterprise, Inc. in September 2023. Super League Enterprise, Inc. was founded in 2015 and is headquartered in Santa Monica, California.

About Skillz

Skillz Inc. operates a mobile game platform in the United States and internationally. The company primarily develops and supports a proprietary online-hosted technology platform that enables independent game developers to host tournaments and provide competitive gaming activity to end-users. The company distributes games through direct app download from its website, as well as through third-party platforms. Skillz Inc. was founded in 2012 and is based in San Francisco, California.