Financial Analysis: Snail (NASDAQ:SNAL) and SJM (OTCMKTS:SJMHF)

SJM (OTCMKTS:SJMHF) and Snail (NASDAQ:SNAL) are both consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, risk, profitability, earnings, institutional ownership, valuation and dividends.

Profitability

This table compares SJM and Snail’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SJM	N/A	N/A	N/A
Snail	-15.14%	-12.69%	1.44%

Insider and Institutional Ownership

0.4% of Snail shares are held by institutional investors. 78.2% of Snail shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Volatility & Risk

SJM has a beta of 0.66, meaning that its stock price is 34% less volatile than the S&P 500. Comparatively, Snail has a beta of 0.55, meaning that its stock price is 45% less volatile than the S&P 500.

Valuation and Earnings

This table compares SJM and Snail”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SJM	$3.69 billion	0.62	$410,000.00	N/A	N/A
Snail	$84.47 million	0.44	$1.83 million	($0.68)	-1.44

Snail has lower revenue, but higher earnings than SJM.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for SJM and Snail, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SJM	0	2	0	0	2.00
Snail	1	0	0	0	1.00

Summary

SJM beats Snail on 6 of the 10 factors compared between the two stocks.

About SJM

SJM Holdings Limited, an investment holding company, owns, develops, and operates casinos and related facilities in Macau. The company operates through two segments, Gaming Operations; and Hotel, Catering, Retail and Leasing Operations. The Gaming Operations segment engages in rolling, non-rolling, and electronic game gaming operations. The Hotel, Catering, Retail, and Leasing Operations segment operates and manages a hotel; and offers catering, leasing, retail, and related activities. It also provides marketing and promotion, property development preparation, casino operations management, dredging, customer, retail, human resources and project management, shopping mall management, food and beverage, treasury, management, and hospitality services. The company was incorporated in 2006 and is based in Central, Hong Kong. SJM Holdings Limited is a subsidiary of Sociedade de Turismo e Diversões de Macau, S.A.

About Snail

Snail, Inc., together with its subsidiaries, researches, develops, markets, publishes, and distributes interactive digital entertainment for consumers worldwide. It offers games, content, and support for various platforms, including game consoles, personal computers, mobile phones, and tablets. Snail, Inc. was founded in 2009 and is headquartered in Culver City, California. Snail, Inc. operates as a subsidiary of Olive Wood Global Development Limited.