Head-To-Head Analysis: Melco International Development (OTCMKTS:MDEVF) & PLAYSTUDIOS (NASDAQ:MYPS)

PLAYSTUDIOS (NASDAQ:MYPS) and Melco International Development (OTCMKTS:MDEVF) are both small-cap consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their risk, profitability, dividends, institutional ownership, valuation, earnings and analyst recommendations.

Profitability

This table compares PLAYSTUDIOS and Melco International Development’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PLAYSTUDIOS	-15.10%	-8.71%	-6.77%
Melco International Development	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent ratings and price targets for PLAYSTUDIOS and Melco International Development, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PLAYSTUDIOS	2	1	2	0	2.00
Melco International Development	0	0	0	0	0.00

PLAYSTUDIOS presently has a consensus target price of $2.00, indicating a potential upside of 222.11%. Given PLAYSTUDIOS’s stronger consensus rating and higher possible upside, equities analysts clearly believe PLAYSTUDIOS is more favorable than Melco International Development.

Volatility and Risk

PLAYSTUDIOS has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500. Comparatively, Melco International Development has a beta of -0.22, indicating that its stock price is 122% less volatile than the S&P 500.

Valuation & Earnings

This table compares PLAYSTUDIOS and Melco International Development”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PLAYSTUDIOS	$289.43 million	0.27	-$28.69 million	($0.29)	-2.14
Melco International Development	$4.64 billion	0.17	-$100.59 million	N/A	N/A

PLAYSTUDIOS has higher earnings, but lower revenue than Melco International Development.

Insider & Institutional Ownership

37.5% of PLAYSTUDIOS shares are held by institutional investors. 14.7% of PLAYSTUDIOS shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

PLAYSTUDIOS beats Melco International Development on 8 of the 12 factors compared between the two stocks.

About PLAYSTUDIOS

PLAYSTUDIOS, Inc. develops and publishes free-to-play casual games for mobile and social platforms in the United States and internationally. The company's game portfolio includes a diverse range of titles comprising social casino, card, puzzle, and adventure games. It also offers POP! Slots, myVEGAS Slots, my KONAMI Slots, MGM Slots Live, myVEGAS Blackjack, myVEGAS Bingo, Tetris, Solitaire, Spider Solitaire, Jumbline 2, Sudoku, and Mahjong games. PLAYSTUDIOS, Inc. is headquartered in Las Vegas, Nevada.

About Melco International Development

Melco International Development Limited, an investment holding company, engages in the leisure and entertainment business in Macau, the Philippines, Cyprus, and Japan. It operates in two segments: Casino and Hospitality, and Others. The company develops, owns, and operates a network of casino gaming and entertainment casino resorts. It also involved in the development and operation of integrated casino and entertainment resort, and related activities; and operation of satellite casinos. In addition, the company provides financing, management, and property investment services. Further, it operates electronic gaming machines. The company was formerly known as The Macao Electric Lighting Company, Limited and changed its name to Melco International Development Limited in 1988. Melco International Development Limited was incorporated in 1910 and is headquartered in Central, Hong Kong.