Critical Review: Sphere 3D (NASDAQ:ANY) and Magic Empire Global (NASDAQ:MEGL)

Magic Empire Global (NASDAQ:MEGL) and Sphere 3D (NASDAQ:ANY) are both small-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, earnings, risk, profitability, analyst recommendations, institutional ownership and valuation.

Profitability

This table compares Magic Empire Global and Sphere 3D’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Magic Empire Global	N/A	N/A	N/A
Sphere 3D	-167.47%	-61.18%	-56.57%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Magic Empire Global and Sphere 3D, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Magic Empire Global	1	0	0	0	1.00
Sphere 3D	1	0	1	0	2.00

Sphere 3D has a consensus price target of $30.00, suggesting a potential upside of 1,954.79%. Given Sphere 3D’s stronger consensus rating and higher possible upside, analysts plainly believe Sphere 3D is more favorable than Magic Empire Global.

Institutional & Insider Ownership

0.5% of Magic Empire Global shares are owned by institutional investors. Comparatively, 17.3% of Sphere 3D shares are owned by institutional investors. 63.0% of Magic Empire Global shares are owned by company insiders. Comparatively, 3.9% of Sphere 3D shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

Magic Empire Global has a beta of 2.85, suggesting that its share price is 185% more volatile than the S&P 500. Comparatively, Sphere 3D has a beta of 3.79, suggesting that its share price is 279% more volatile than the S&P 500.

Earnings and Valuation

This table compares Magic Empire Global and Sphere 3D”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Magic Empire Global	$1.65 million	2.49	-$610,000.00	N/A	N/A
Sphere 3D	$16.61 million	0.30	-$9.47 million	($7.70)	-0.19

Magic Empire Global has higher earnings, but lower revenue than Sphere 3D.

About Magic Empire Global

Magic Empire Global Limited engages in the provision of corporate finance advisory services and underwriting services in Hong Kong. The company provides initial public offering sponsorship, financial and independent financial advisory, post-listing compliance advisory, and underwriting services by acting as global coordinator, bookrunner, lead manager, or underwriter. It also offers corporate services, which include accounting and financial reporting advisory, company secretarial services, internal control enhancement, investor relations advisory, and other consulting services. The company was incorporated in 2016 and is headquartered in Central, Hong Kong.

About Sphere 3D

Sphere 3D Corp. engages in the bitcoin mining business. It is involved with digital asset mining pool operators to provide computing power to the mining pools. The company is based in Stamford, Connecticut.