MJ (OTCMKTS:MJNE) & Riskified (NYSE:RSKD) Critical Survey

Riskified (NYSE:RSKD) and MJ (OTCMKTS:MJNE) are both small-cap computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, profitability, risk, valuation, earnings, institutional ownership and dividends.

Risk & Volatility

Riskified has a beta of 1.36, suggesting that its share price is 36% more volatile than the S&P 500. Comparatively, MJ has a beta of 0.17, suggesting that its share price is 83% less volatile than the S&P 500.

Earnings & Valuation

This table compares Riskified and MJ”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Riskified	$297.61 million	2.75	-$59.03 million	($0.26)	-17.65
MJ	$360,000.00	0.00	-$5.38 million	N/A	N/A

MJ has lower revenue, but higher earnings than Riskified.

Profitability

This table compares Riskified and MJ’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Riskified	-14.57%	-8.33%	-6.82%
MJ	N/A	N/A	N/A

Analyst Recommendations

This is a summary of current ratings and recommmendations for Riskified and MJ, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Riskified	1	5	2	0	2.13
MJ	0	0	0	0	0.00

Riskified presently has a consensus price target of $6.03, suggesting a potential upside of 31.40%. Given Riskified’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Riskified is more favorable than MJ.

Institutional & Insider Ownership

59.0% of Riskified shares are owned by institutional investors. 17.4% of Riskified shares are owned by insiders. Comparatively, 35.9% of MJ shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Riskified beats MJ on 6 of the 11 factors compared between the two stocks.

About Riskified

Riskified Ltd., together with its subsidiaries, develops and offers an e-commerce risk management platform that allows online merchants to create trusted relationships with consumers in the United States, Europe, the Middle East, Africa, the Asia-Pacific, and the Americas. It offers Chargeback Guarantee that ensures the legitimacy of merchants' online orders; Policy Protect, a machine learning solution designed to detect and prevent refund and returns policy abuse in real-time; Account Secure, a solution that cross-checks every login attempt; Dispute Resolve, which is used to compile submissions for fraud and non-fraud related chargeback issues; and PSD2 Optimize that helps merchants avoid bank authorization failures and abandoned shopping carts. The company serves direct-to-consumer brands, online-only retailers, omnichannel retailers, online marketplaces, and e-commerce service providers in various industries, such as payments, money transfer and crypto, tickets and travel, electronics, home, and fashion and luxury goods. Riskified Ltd. was incorporated in 2012 and is headquartered in Tel Aviv, Israel.

About MJ

MJ Holdings, Inc., a cannabis holding company, engages in cultivation management, asset, and infrastructure development business in Nevada. It is also involved in production of cannabis related products; and provision of management services, dispensaries, and consulting services. The company is headquartered in Las Vegas, Nevada.