Head to Head Comparison: MGT Capital Investments (OTCMKTS:MGTI) versus Pagaya Technologies (NASDAQ:PGY)

Pagaya Technologies (NASDAQ:PGY) and MGT Capital Investments (OTCMKTS:MGTI) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, dividends, valuation, risk, institutional ownership, analyst recommendations and earnings.

Valuation & Earnings

This table compares Pagaya Technologies and MGT Capital Investments”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pagaya Technologies	$939.31 million	0.76	-$128.44 million	($2.54)	-3.80
MGT Capital Investments	$400,000.00	0.00	-$6.13 million	N/A	N/A

MGT Capital Investments has lower revenue, but higher earnings than Pagaya Technologies.

Profitability

This table compares Pagaya Technologies and MGT Capital Investments’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pagaya Technologies	-18.48%	1.01%	0.47%
MGT Capital Investments	N/A	N/A	N/A

Institutional and Insider Ownership

57.1% of Pagaya Technologies shares are held by institutional investors. 49.6% of Pagaya Technologies shares are held by insiders. Comparatively, 3.8% of MGT Capital Investments shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Risk and Volatility

Pagaya Technologies has a beta of 6.11, suggesting that its stock price is 511% more volatile than the S&P 500. Comparatively, MGT Capital Investments has a beta of 2.73, suggesting that its stock price is 173% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Pagaya Technologies and MGT Capital Investments, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pagaya Technologies	0	2	6	0	2.75
MGT Capital Investments	0	0	0	0	0.00

Pagaya Technologies presently has a consensus price target of $21.13, suggesting a potential upside of 119.14%. Given Pagaya Technologies’ stronger consensus rating and higher probable upside, analysts plainly believe Pagaya Technologies is more favorable than MGT Capital Investments.

Summary

Pagaya Technologies beats MGT Capital Investments on 9 of the 11 factors compared between the two stocks.

About Pagaya Technologies

Pagaya Technologies Ltd., a product-focused technology company, deploys data science and proprietary artificial intelligence-powered technology for financial institutions and investors in the United States, Israel, the Cayman Islands, and internationally. The company develops and implements proprietary artificial intelligence technology and related software solutions to assist partners to originate loans and other assets. Its partners include high-growth financial technology companies, incumbent banks and financial institutions, auto finance providers, and residential real estate service providers. Pagaya Technologies Ltd. was incorporated in 2016 and is headquartered in New York, New York.

About MGT Capital Investments

MGT Capital Investments, Inc. engages in cryptocurrency mining business in the United States. The company owns and manages a bitcoin mining facility in LaFayette, Georgia. It also leases space to third parties and self-mining operations; and provides hosting services for third-party owners of miners. The company was incorporated in 1977 and is headquartered in Lafayette, Georgia.