Head-to-Head Analysis: Digital Media Solutions (NYSE: DMS) and Paysafe (NYSE: PSFE)
Paysafe (NYSE:PSFE – Get Rating) and Digital Media Solutions (NYSE:DMS – Get Rating) are both small cap business services companies, but which is the better stock? We’ll compare the two companies based on valuation strength, risk, dividends, institutional ownership, analyst recommendations, profitability and earnings.
Benefits and evaluation
This table compares the revenue, earnings per share and valuation of Paysafe and Digital Media Solutions.
|Gross revenue||Price/sales ratio||Net revenue||Earnings per share||Price/earnings ratio|
|paysafe||$1.49 billion||0.95||-$110.95 million||N / A||N / A|
|Digital Media Solutions||$427.93 million||0.19||$2.20 million||($0.29)||-4.45|
Digital Media Solutions has lower revenue, but higher revenue than Paysafe.
Risk and Volatility
Paysafe has a beta of 1.69, meaning its stock price is 69% more volatile than the S&P 500. Comparatively, Digital Media Solutions has a beta of 2.13, meaning its stock price is 113% more volatile than the S&P 500.
This table compares the net margins, return on equity and return on assets of Paysafe and Digital Media Solutions.
|Net margins||Return on equity||return on assets|
|Digital Media Solutions||-2.51%||-3.09%||-7.88%|
This is a breakdown of the current price recommendations and targets for Paysafe and Digital Media Solutions, as reported by MarketBeat.
|Sales Ratings||Hold odds||Buy reviews||Strong buy odds||Rating|
|Digital Media Solutions||0||1||3||0||2.75|
Paysafe currently has a consensus price target of $4.44, suggesting a potential upside of 126.40%. Digital Media Solutions has a consensus price target of $5.67, suggesting a potential upside of 339.28%. Given Digital Media Solutions’ higher consensus rating and likely higher upside, analysts clearly believe Digital Media Solutions is more favorable than Paysafe.
Institutional and Insider Ownership
65.6% of Paysafe shares are held by institutional investors. By comparison, 2.3% of Digital Media Solutions shares are held by institutional investors. 86.4% of the shares of Digital Media Solutions are held by insiders of the company. Strong institutional ownership indicates that hedge funds, large fund managers, and endowments believe a company will outperform the market over the long term.
(Get an assessment)
Paysafe Limited provides digital commerce solutions to online businesses, small and medium-sized merchants and consumers through its Paysafe network worldwide. The Company operates in two segments, US Acquiring and Digital Commerce. It provides PCI-compliant payment acceptance and transaction processing solutions for merchants and integrated service providers, including merchant acquiring, transaction processing, online solutions, fraud and risk management, data and analytics, and point-of-sale systems and merchant finance solutions under Paysafe. and the Petroleum Card Services brands. The company also offers digital wallet solutions under the Skrill and NETELLER brands; and bank payment solution under the Rapid Transfer brand. Additionally, it provides eCash solutions, such as Paysafecash, an eCash bill payment solution that allows users to shop online and then pay offline in cash to complete the transaction; paysafecard, a prepaid eCash solution; and the paysafecard prepaid Mastercard which can be linked to a paysafecard digital account and used to make purchases. Additionally, it offers integrated and e-commerce solutions for e-merchants and software-integrated merchants as part of integrated payment capabilities; an online toolkit that enables merchants and integrated software providers to develop and expand their online business presence; and a turnkey payment gateway solution that provides essential connectivity between online merchant sites and payment acceptance and transaction processing providers. Additionally, the Company manages and provides various connections to card processing networks, acquiring banks and transaction processors; and offers gateway connectivity, ? shopping cart, tokenization and encryption, fraud and risk management and support for payment alternatives, as well as integrations into e-commerce platforms and several alternative payment methods. Paysafe Limited is based in London, UK.
About Digital Media Solutions
(Get an assessment)
Digital Media Solutions, Inc. operates as a digital performance marketing company that offers a software delivery platform in the United States. It operates through three segments: Brand Direct, Marketplace and Other. The company operates as a performance marketing engine for businesses in various industries including consumer finance, e-commerce, education, insurance, home services, brand performance, automotive , concerts, health and wellness and work placements. It also provides managed services that help customers access and control advertising spend; and marketing automation software as a service to clients. The company was founded in 2012 and is based in Clearwater, Florida.
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