Critical Survey: Marcus (NYSE:MCS) and AiRWA (NASDAQ:YYAI)

AiRWA (NASDAQ:YYAI) and Marcus (NYSE:MCS) are both small-cap consumer discretionary companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, profitability, institutional ownership, dividends, valuation and risk.

Earnings & Valuation

This table compares AiRWA and Marcus”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AiRWA	$12.82 million	0.02	$3.49 million	($8.00)	-0.12
Marcus	$735.56 million	0.64	-$7.79 million	$0.24	64.21

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

Profitability

This table compares AiRWA and Marcus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AiRWA	6.47%	2.22%	2.02%
Marcus	1.02%	1.71%	0.76%

Analyst Ratings

This is a breakdown of recent ratings for AiRWA and Marcus, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AiRWA	1	0	0	0	1.00
Marcus	0	2	3	1	2.83

Marcus has a consensus price target of $23.75, suggesting a potential upside of 54.11%. Given Marcus’ stronger consensus rating and higher possible upside, analysts plainly believe Marcus is more favorable than AiRWA.

Volatility & Risk

AiRWA has a beta of -2.02, indicating that its stock price is 302% less volatile than the S&P 500. Comparatively, Marcus has a beta of 0.57, indicating that its stock price is 43% less volatile than the S&P 500.

Insider & Institutional Ownership

4.0% of AiRWA shares are owned by institutional investors. Comparatively, 81.6% of Marcus shares are owned by institutional investors. 55.8% of AiRWA shares are owned by insiders. Comparatively, 5.0% of Marcus shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Marcus beats AiRWA on 10 of the 15 factors compared between the two stocks.

About AiRWA

Connexa Sports Technologies Inc. engages in the sports equipment and technology business in the United States. The company offers Slinger Launcher, a portable padel tennis ball launcher and pickleball launcher; and Slinger Bag Launcher, a ball launcher built into transport wheeled trolley bag. It also provides Gameface, AI technology and performance analytics for sports. Connexa Sports Technologies Inc. is based in Windsor Mill, Maryland.

About Marcus

The Marcus Corporation, together with its subsidiaries, owns and operates movie theatres, and hotels and resorts in the United States. It operates a family entertainment center and multiscreen motion picture theatres under the Big Screen Bistro, Big Screen Bistro Express, BistroPlex, and Movie Tavern by Marcus brand names. The company also owns and operates full-service hotels and resorts, as well as manages full-service hotels, resorts, and other properties. In addition, it provides hospitality management services, including check-in, housekeeping, and maintenance for a vacation ownership development; and manages condominium hotels under long-term management contracts. The Marcus Corporation was founded in 1935 and is headquartered in Milwaukee, Wisconsin.