Comparing Paymentus (NYSE:PAY) and Tenet Fintech Group (OTCMKTS:PKKFF)

Tenet Fintech Group (OTCMKTS:PKKFF) and Paymentus (NYSE:PAY) are both business services companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, risk, analyst recommendations, profitability, valuation and dividends.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Tenet Fintech Group and Paymentus, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tenet Fintech Group	0	0	0	0	0.00
Paymentus	0	4	4	0	2.50

Paymentus has a consensus price target of $37.50, suggesting a potential upside of 26.76%. Given Paymentus’ stronger consensus rating and higher possible upside, analysts plainly believe Paymentus is more favorable than Tenet Fintech Group.

Insider and Institutional Ownership

0.3% of Tenet Fintech Group shares are owned by institutional investors. Comparatively, 78.4% of Paymentus shares are owned by institutional investors. 87.8% of Paymentus shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Tenet Fintech Group and Paymentus”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tenet Fintech Group	$2.03 million	6.02	-$42.29 million	($0.09)	-0.55
Paymentus	$871.74 million	4.26	$44.17 million	$0.46	64.31

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

Profitability

This table compares Tenet Fintech Group and Paymentus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tenet Fintech Group	-1,215.85%	-722.03%	-68.92%
Paymentus	5.29%	12.68%	10.68%

Volatility & Risk

Tenet Fintech Group has a beta of 1.3, meaning that its share price is 30% more volatile than the S&P 500. Comparatively, Paymentus has a beta of 1.49, meaning that its share price is 49% more volatile than the S&P 500.

Summary

Paymentus beats Tenet Fintech Group on 13 of the 14 factors compared between the two stocks.

About Tenet Fintech Group

Tenet Fintech Group Inc., through its subsidiaries, provides various analytics and AI-based services to small-and-medium businesses and financial institutions. It offers Business Hub, a global ecosystem where analytics and AI are used to create opportunities and facilitate B2B transactions among its members. The company was formerly known as Peak Fintech Group Inc. and changed its name to Tenet Fintech Group Inc. in November 2021. Tenet Fintech Group Inc. was incorporated in 2008 and is headquartered in Toronto, Canada.

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.