Nayax (NASDAQ:NYAX) and Snowflake (NYSE:SNOW) Head to Head Review

Snowflake (NYSE:SNOW) and Nayax (NASDAQ:NYAX) are both computer and technology companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, valuation, profitability, risk and dividends.

Insider and Institutional Ownership

65.1% of Snowflake shares are held by institutional investors. Comparatively, 34.9% of Nayax shares are held by institutional investors. 7.8% of Snowflake shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Volatility & Risk

Snowflake has a beta of 0.83, indicating that its stock price is 17% less volatile than the S&P 500. Comparatively, Nayax has a beta of 0.03, indicating that its stock price is 97% less volatile than the S&P 500.

Profitability

This table compares Snowflake and Nayax’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Snowflake	-31.73%	-19.62%	-12.43%
Nayax	-5.34%	-11.18%	-4.00%

Analyst Recommendations

This is a breakdown of recent recommendations for Snowflake and Nayax, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Snowflake	1	11	25	0	2.65
Nayax	0	3	0	0	2.00

Snowflake currently has a consensus target price of $175.17, suggesting a potential upside of 53.75%. Nayax has a consensus target price of $25.67, suggesting a potential upside of 0.06%. Given Snowflake’s stronger consensus rating and higher possible upside, equities analysts clearly believe Snowflake is more favorable than Nayax.

Valuation & Earnings

This table compares Snowflake and Nayax”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Snowflake	$3.21 billion	11.90	-$836.10 million	($2.80)	-40.69
Nayax	$268.97 million	3.13	-$15.89 million	($0.46)	-55.76

Nayax has lower revenue, but higher earnings than Snowflake. Nayax is trading at a lower price-to-earnings ratio than Snowflake, indicating that it is currently the more affordable of the two stocks.

Summary

Snowflake beats Nayax on 9 of the 14 factors compared between the two stocks.

About Snowflake

Snowflake Inc. provides a cloud-based data platform for various organizations in the United States and internationally. Its platform offers Data Cloud, which enables customers to consolidate data into a single source of truth to drive meaningful business insights, build data-driven applications, and share data and data products, as well as applies artificial intelligence (AI) for solving business problems. The company was formerly known as Snowflake Computing, Inc. and changed its name to Snowflake Inc. in April 2019. Snowflake Inc. was incorporated in 2012 and is based in Bozeman, Montana.

About Nayax

Nayax Ltd., a fintech company, operates system and payment platform for multiple retailers in the United States, Europe, the United Kingdom, Australia, Israel, and rest of the world. The company offers AMIT 3.0, a machine-to-machine vending telemetry solution; Nayax Core, a management and monitoring software for vending machines and other unattended machines; MoMa, a mobile app for unattended machine; Tigapo back-office software suite, a cloud-based platform; EV Core, a smart, cloud-based management platform; Retail Management Cloud, a comprehensive attended retail management platform; Loyalty and Marketing Suite, a consumer engagement marketing and loyalty platform; Monyx Wallet, a digital wallet app enabling cashless payments with mobile phones; Weezmo, a consumer engagement and marketing platform; and Tigapo app, a proprietary mobile app to help family entertainment center businesses. It provides electric vehicle charging stations; VPOS Touch, a credit card reader cashless payment device; VPOS Fusion, a cashless payment card reader; ONYX, a contactless card reader and telemetry device; NOVA 156, an electronic cash register; DOT, a smart QR and barcode reader; UNO Plus and UNO 8, which are EMV and FeliCa contactless readers; EMV SOM, a PCI-PTS ready contactless EMV reader module; Nova Market, a cashless micro market and self-checkout solution; NOVA 55, an a handheld smart point of sale (POS) device; NOVA 45, a handheld mini smart terminals for attended POS; and Retail One, a universal retail solution that integrates directly with SAP. The company sells its products directly, as well as through resellers and distributors. It serves various verticals, including vending machines, coffee machines, unattended checkout counters, self-service kiosks, ticketing machines, car wash stations, gaming machines, amusement rides, laundromats, and EV charging stations. Nayax Ltd. was incorporated in 2005 and is headquartered in Herzliya, Israel.