Head-To-Head Comparison: Jumia Technologies (NYSE:JMIA) versus LY (OTCMKTS:YAHOY)

Jumia Technologies (NYSE:JMIA) and LY (OTCMKTS:YAHOY) are both retail/wholesale companies, but which is the better stock? We will contrast the two companies based on the strength of their dividends, earnings, valuation, institutional ownership, risk, analyst recommendations and profitability.

Profitability

This table compares Jumia Technologies and LY’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Jumia Technologies	-48.53%	-106.58%	-40.73%
LY	7.99%	5.35%	2.00%

Analyst Ratings

This is a breakdown of recent ratings for Jumia Technologies and LY, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Jumia Technologies	0	1	1	0	2.50
LY	0	1	0	1	3.00

Jumia Technologies presently has a consensus price target of $7.88, suggesting a potential upside of 78.17%. Given Jumia Technologies’ higher probable upside, equities analysts clearly believe Jumia Technologies is more favorable than LY.

Risk and Volatility

Jumia Technologies has a beta of 2.9, meaning that its share price is 190% more volatile than the S&P 500. Comparatively, LY has a beta of 0.79, meaning that its share price is 21% less volatile than the S&P 500.

Earnings & Valuation

This table compares Jumia Technologies and LY”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Jumia Technologies	$167.49 million	3.23	-$99.09 million	N/A	N/A
LY	$12.59 billion	2.05	$1.01 billion	$0.27	26.74

LY has higher revenue and earnings than Jumia Technologies.

Institutional & Insider Ownership

16.5% of Jumia Technologies shares are owned by institutional investors. 1.9% of Jumia Technologies shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

LY beats Jumia Technologies on 7 of the 13 factors compared between the two stocks.

About Jumia Technologies

Jumia Technologies AG operates an e-commerce platform in West Africa, North Africa, East and South Africa, Europe, the United Arab Emirates, and internationally. The company’s platform consists of marketplace that connects sellers with customers; logistics service, which enables the shipment and delivery of packages from sellers to consumers; and payment service, which facilitates transactions to participants active on the company’s platform in selected markets under the JumiaPay name. Its marketplace offers various products in a range of categories, including phones, electronics, home and living, fashion, beauty, and fast-moving consumer goods; and various digital lifestyle services, such as utility bills payment, airtime recharge, gaming and entertainment, and transport ticketing, as well as financial services comprising micro-loans, insurance, and savings products. The company was formerly known as Africa Internet Holding GmbH and changed its name to Jumia Technologies AG in January 2019. Jumia Technologies AG was incorporated in 2012 and is headquartered in Berlin, Germany.

About LY

LY Corporation engages in the online advertising and e-commerce businesses in Japan. The company provides LINE, a communication app; and Yahoo! JAPAN, an internet service that offers search, news, weather, shopping, auction, and other services. It also offers reuse, membership, and payment-related services. The company was formerly known as Z Holdings Corporation and changed its name to LY Corporation in October 2023. LY Corporation was founded in 1996 and is headquartered in Chiyoda, Japan. LY Corporation operates as a subsidiary of A Holdings Corporation.