Comparing Jumia Technologies (NYSE:JMIA) and Prosus (OTCMKTS:PROSY)

Jumia Technologies (NYSE:JMIA) and Prosus (OTCMKTS:PROSY) are both retail/wholesale companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, risk, institutional ownership, analyst recommendations, earnings, profitability and dividends.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Jumia Technologies and Prosus, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Jumia Technologies	1	0	4	0	2.60
Prosus	0	0	3	1	3.25

Jumia Technologies presently has a consensus price target of $17.00, suggesting a potential upside of 130.73%. Given Jumia Technologies’ higher probable upside, analysts plainly believe Jumia Technologies is more favorable than Prosus.

Risk & Volatility

Jumia Technologies has a beta of 2.44, meaning that its share price is 144% more volatile than the S&P 500. Comparatively, Prosus has a beta of 0.73, meaning that its share price is 27% less volatile than the S&P 500.

Valuation and Earnings

This table compares Jumia Technologies and Prosus”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Jumia Technologies	$188.93 million	4.83	-$61.55 million	N/A	N/A
Prosus	$6.17 billion	4.43	$12.37 billion	N/A	N/A

Prosus has higher revenue and earnings than Jumia Technologies.

Insider & Institutional Ownership

16.5% of Jumia Technologies shares are held by institutional investors. Comparatively, 0.0% of Prosus shares are held by institutional investors. 1.9% of Jumia Technologies shares are held by company insiders. Comparatively, 0.5% of Prosus shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Jumia Technologies and Prosus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Jumia Technologies	-32.58%	-135.27%	-40.14%
Prosus	N/A	N/A	N/A

Summary

Prosus beats Jumia Technologies on 7 of the 13 factors compared between the two stocks.

About Jumia Technologies

Jumia Technologies AG operates an e-commerce platform in West Africa, North Africa, East and South Africa, Europe, the United Arab Emirates, and internationally. The company’s platform consists of marketplace that connects sellers with customers; logistics service, which enables the shipment and delivery of packages from sellers to consumers; and payment service, which facilitates transactions to participants active on the company’s platform in selected markets under the JumiaPay name. Its marketplace offers various products in a range of categories, including phones, electronics, home and living, fashion, beauty, and fast-moving consumer goods; and various digital lifestyle services, such as utility bills payment, airtime recharge, gaming and entertainment, and transport ticketing, as well as financial services comprising micro-loans, insurance, and savings products. The company was formerly known as Africa Internet Holding GmbH and changed its name to Jumia Technologies AG in January 2019. Jumia Technologies AG was incorporated in 2012 and is headquartered in Berlin, Germany.

About Prosus

Prosus N.V. engages in the e-commerce and internet businesses in Asia, Europe, Latin America, North America, and internationally. It operates internet platforms, such as classifieds, payments and fintech, food delivery, education technology, etail, ventures, social, and other internet platforms. The company was formerly known as Myriad International Holdings N.V. and changed its name to Prosus N.V. in August 2019. Prosus N.V. was incorporated in 1994 and is headquartered in Amsterdam, the Netherlands. Prosus N.V. operates as a subsidiary of Naspers Limited.