Playtika (NASDAQ:PLTK) vs. Super Group (SGHC) (NYSE:SGHC) Head to Head Survey

by · The Cerbat Gem

Playtika (NASDAQ:PLTKGet Free Report) and Super Group (SGHC) (NYSE:SGHCGet Free Report) are both consumer discretionary companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, profitability, dividends, risk, valuation, analyst recommendations and institutional ownership.

Profitability

This table compares Playtika and Super Group (SGHC)’s net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Playtika3.16%-114.44%3.23%
Super Group (SGHC)10.05%43.14%25.20%

Insider & Institutional Ownership

11.9% of Playtika shares are held by institutional investors. Comparatively, 5.1% of Super Group (SGHC) shares are held by institutional investors. 4.8% of Playtika shares are held by company insiders. Comparatively, 10.4% of Super Group (SGHC) shares are held 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

Playtika has a beta of 0.84, indicating that its stock price is 16% less volatile than the S&P 500. Comparatively, Super Group (SGHC) has a beta of 1.09, indicating that its stock price is 9% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for Playtika and Super Group (SGHC), as provided by MarketBeat.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Playtika15302.22
Super Group (SGHC)01823.09

Playtika presently has a consensus target price of $6.00, suggesting a potential upside of 51.90%. Super Group (SGHC) has a consensus target price of $16.30, suggesting a potential upside of 36.40%. Given Playtika’s higher possible upside, equities analysts clearly believe Playtika is more favorable than Super Group (SGHC).

Valuation and Earnings

This table compares Playtika and Super Group (SGHC)”s gross revenue, earnings per share (EPS) and valuation.

Gross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Playtika$2.73 billion0.54$162.20 million$0.2416.46
Super Group (SGHC)$2.12 billion2.84$122.38 million$0.4327.79

Playtika has higher revenue and earnings than Super Group (SGHC). Playtika is trading at a lower price-to-earnings ratio than Super Group (SGHC), indicating that it is currently the more affordable of the two stocks.

Dividends

Playtika pays an annual dividend of $0.40 per share and has a dividend yield of 10.1%. Super Group (SGHC) pays an annual dividend of $0.16 per share and has a dividend yield of 1.3%. Playtika pays out 166.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Super Group (SGHC) pays out 37.2% of its earnings in the form of a dividend.

Summary

Super Group (SGHC) beats Playtika on 12 of the 17 factors compared between the two stocks.

About Playtika

(Get Free Report)

Playtika Holding Corp., together with its subsidiaries, develops mobile games in the United States, Europe, Middle East, Africa, Asia pacific, and internationally. The company owns a portfolio of casual and social casino-themed games. It distributes its games to the end customer through various web and mobile platforms and direct-to-consumer platforms. Playtika Holding Corp. was founded in 2010 and is headquartered in Herzliya Pituach, Israel. Playtika Holding Corp. is a subsidiary of Playtika Holding UK II Limited.

About Super Group (SGHC)

(Get Free Report)

Super Group (SGHC) Limited operates as an online sports betting and gaming operator. It offers Betway, an online sports betting brand; and Spin, a multi-brand online casino offering. Super Group (SGHC) Limited is based in Saint Peter Port, Guernsey.