Mercurity Fintech (NASDAQ:MFH) vs. Joint Stock Company Kaspi.kz (NASDAQ:KSPI) Critical Review

Mercurity Fintech (NASDAQ:MFH) and Joint Stock Company Kaspi.kz (NASDAQ:KSPI) are both business services companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, earnings, analyst recommendations, institutional ownership, profitability, dividends and valuation.

Analyst Recommendations

This is a summary of recent recommendations for Mercurity Fintech and Joint Stock Company Kaspi.kz, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mercurity Fintech	1	0	0	0	1.00
Joint Stock Company Kaspi.kz	1	2	2	0	2.20

Joint Stock Company Kaspi.kz has a consensus target price of $111.00, indicating a potential upside of 43.49%. Given Joint Stock Company Kaspi.kz’s stronger consensus rating and higher probable upside, analysts clearly believe Joint Stock Company Kaspi.kz is more favorable than Mercurity Fintech.

Valuation & Earnings

This table compares Mercurity Fintech and Joint Stock Company Kaspi.kz”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mercurity Fintech	$960,967.00	618.91	-$4.53 million	N/A	N/A
Joint Stock Company Kaspi.kz	$4.82 billion	3.20	$2.18 billion	$11.09	6.98

Joint Stock Company Kaspi.kz has higher revenue and earnings than Mercurity Fintech.

Profitability

This table compares Mercurity Fintech and Joint Stock Company Kaspi.kz’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mercurity Fintech	N/A	N/A	N/A
Joint Stock Company Kaspi.kz	30.35%	55.31%	11.20%

Risk and Volatility

Mercurity Fintech has a beta of 4.3, indicating that its stock price is 330% more volatile than the S&P 500. Comparatively, Joint Stock Company Kaspi.kz has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500.

Insider & Institutional Ownership

30.8% of Mercurity Fintech shares are owned by institutional investors. Comparatively, 32.2% of Joint Stock Company Kaspi.kz shares are owned by institutional investors. 62.8% of Mercurity Fintech shares are owned by 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.

Summary

Joint Stock Company Kaspi.kz beats Mercurity Fintech on 9 of the 12 factors compared between the two stocks.

About Mercurity Fintech

Mercurity Fintech Holding Inc. operates as a fintech company powered by blockchain. The company provides digital asset trading infrastructure solutions based on internet and blockchain technologies for cryptocurrency traders; and asset digitalization platform, which offers blockchain-based digitalization solutions for traditional assets, such as fiat currencies, bonds, and precious metals. It also offers cryptocurrency mining services that provides computing power to the mining pool; and digital consultation services, such as digital payment solutions, asset management, and online and traditional brokerage services. The company was formerly known as JMU Limited and changed its name to Mercurity Fintech Holding Inc. in April 2020. Mercurity Fintech Holding Inc. was incorporated in 2011 and is headquartered in New York, New York.

About Joint Stock Company Kaspi.kz

Joint Stock Company Kaspi.kz, together with its subsidiaries, provides payments, marketplace, and fintech solutions for consumers and merchants in the Republic of Kazakhstan. It operates through three segments: Payments Platform, Marketplace Platform, and Fintech Platform. The Payments Platform segment facilities transactions between customers and merchants. This segment offers shopping transactions, regular household bills, and peer to peer payments for consumers; accepts payment online and in store, issue and settle invoices, pay suppliers and monitor merchant turnover. It also provides proprietary data facilities informed decision making across multiple areas of business. Its Marketplace Platform segment connects online, and offline merchants and consumers enabling merchants to enhance its sales through an omni channel strategy and enable consumers to buy products and services from various merchants. This segment also operates marketplace through m-commerce, a mobile solution for shopping in person which consumers can use e-commerce to shop anywhere, anytime with free delivery; Kaspi Travel allows consumers to book domestic and international flights and package holidays, domestic rail tickets. It also enhances merchants sales by connecting payments and fintech products, Kapsi advertising, and other delivery services. The Fintech Platform segment provides consumers with BNPL, finance, and savings products and merchants with merchant finance services through super apps and Kapsi.kz Super app. It also involved in the banking; distressed asset management; real estate business; payment processing; online travel; and storage and processing of information services. The company was incorporated in 2008 and is headquartered in Almaty, the Republic of Kazakhstan.