Enova International (NYSE:ENVA) & X Financial (NYSE:XYF) Head-To-Head Comparison

X Financial (NYSE:XYF) and Enova International (NYSE:ENVA) are both finance companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, dividends, earnings, profitability, analyst recommendations, valuation and risk.

Institutional and Insider Ownership

1.1% of X Financial shares are owned by institutional investors. Comparatively, 89.4% of Enova International shares are owned by institutional investors. 31.6% of X Financial shares are owned by company insiders. Comparatively, 8.4% of Enova International shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and recommmendations for X Financial and Enova International, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
X Financial	0	1	0	0	2.00
Enova International	0	0	8	1	3.11

Enova International has a consensus price target of $247.83, indicating a potential upside of 1.55%. Given Enova International’s stronger consensus rating and higher probable upside, analysts clearly believe Enova International is more favorable than X Financial.

Volatility & Risk

X Financial has a beta of 0.46, meaning that its share price is 54% less volatile than the S&P 500. Comparatively, Enova International has a beta of 1.22, meaning that its share price is 22% more volatile than the S&P 500.

Earnings & Valuation

This table compares X Financial and Enova International”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
X Financial	$1.09 billion	0.19	$209.43 million	$3.45	1.57
Enova International	$3.15 billion	1.93	$308.39 million	$13.49	18.09

Enova International has higher revenue and earnings than X Financial. X Financial is trading at a lower price-to-earnings ratio than Enova International, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares X Financial and Enova International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
X Financial	15.06%	14.38%	7.93%
Enova International	10.31%	26.66%	5.55%

Summary

Enova International beats X Financial on 12 of the 15 factors compared between the two stocks.

About X Financial

X Financial provides personal finance services in the People’s Republic of China. The company offers services as an online marketplace connecting borrowers and investors or institutional funding partners. Its loan products include Xiaoying credit loan, which consists of Xiaoying card loan; and Xiaoying preferred loan to small business owners. The company also offers Xiaoying housing loan, a home equity loan product for property owners; investment products through Xiaoying wealth management platform, such as funds, money market, and insurance products; and loan facilitation services to other platforms. In addition, it engages in the technology development, service, and sale of products; and provision of guarantee and consulting services. The company was incorporated in 2014 and is headquartered in Shenzhen, the People’s Republic of China.

About Enova International

Enova International, Inc., a technology and analytics company, provides online financial services in the United States, Brazil, and internationally. The company provides installment loans; line of credit accounts; CSO programs, including arranging loans with independent third-party lenders and assisting in the preparation of loan applications and loan documents; and bank programs, such as marketing services and loan servicing for near-prime unsecured consumer installment loan. It offers money transfer services. It markets its financing products under the CashNetUSA, NetCredit, OnDeck, Headway Capital, Simplic, and Pangea names. The company was founded in 2003 and is headquartered in Chicago, Illinois.