Reviewing Paltalk (NASDAQ:PALT) and Waitr (NASDAQ:ASAP)

Valuation & Earnings

This table compares Waitr and Paltalk”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Waitr	$130.00 million	0.00	-$206.79 million	($1.90)	N/A
Paltalk	$9.64 million	1.94	-$1.07 million	($0.34)	-5.96

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

Profitability

This table compares Waitr and Paltalk’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Waitr	-111.96%	N/A	-209.50%
Paltalk	-33.40%	-16.94%	-14.15%

Insider and Institutional Ownership

0.0% of Waitr shares are owned by institutional investors. Comparatively, 3.9% of Paltalk shares are owned by institutional investors. 14.2% of Waitr shares are owned by company insiders. Comparatively, 18.7% of Paltalk shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Volatility and Risk

Waitr has a beta of 0.66, suggesting that its share price is 34% less volatile than the S&P 500. Comparatively, Paltalk has a beta of 0.91, suggesting that its share price is 9% less volatile than the S&P 500.

Summary

Paltalk beats Waitr on 7 of the 9 factors compared between the two stocks.

About Waitr

Waitr Holdings Inc. operates an online ordering technology platform in the United States. Its platform allows to order food, alcohol, convenience, grocery, flowers, auto parts, and others. The company's platform also facilitates access to third parties that provide payment processing solutions for restaurants and other merchants. Waitr Holdings Inc. was founded in 2013 and is headquartered in Lafayette, Louisiana.

About Paltalk

Paltalk, Inc., together with its subsidiaries, develops communications software and multimedia social applications worldwide. It offers consumer applications, which include Paltalk, Camfrog, and Tinychat for live video chat; and owns and operates Vumber, a telecommunications services provider that enables users to have multiple phone numbers in any area code through which calls can be forwarded to a user’s existing cell phone or land line telephone number. The company provides ManyCam, a live streaming software and virtual camera that allows users to deliver professional live videos on streaming platforms, video conferencing applications, and distance learning tools; and product payment options, where users can pay by credit card, PayPal, western union, check, local e-wallet providers, or complete an in-app purchase through the Apple App Store or Google Play Store for Android users. The company was formerly known as PeerStream, Inc. and changed its name to Paltalk, Inc. in May 2020. Paltalk, Inc. was incorporated in 2005 and is based in Jericho, New York.