Eightco (NASDAQ:OCTO) & Inspired Entertainment (NASDAQ:INSE) Head to Head Review

Eightco (NASDAQ:OCTO) and Inspired Entertainment (NASDAQ:INSE) are both small-cap business services companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, valuation, dividends, earnings, analyst recommendations, profitability and risk.

Profitability

This table compares Eightco and Inspired Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Eightco	-21.43%	-91.96%	-19.64%
Inspired Entertainment	18.78%	-1,176.67%	15.10%

Institutional and Insider Ownership

12.9% of Eightco shares are owned by institutional investors. Comparatively, 77.4% of Inspired Entertainment shares are owned by institutional investors. 13.6% of Eightco shares are owned by insiders. Comparatively, 13.1% of Inspired Entertainment shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings for Eightco and Inspired Entertainment, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eightco	0	0	0	0	0.00
Inspired Entertainment	0	3	4	1	2.75

Inspired Entertainment has a consensus target price of $14.00, suggesting a potential upside of 48.78%. Given Inspired Entertainment’s stronger consensus rating and higher probable upside, analysts clearly believe Inspired Entertainment is more favorable than Eightco.

Volatility and Risk

Eightco has a beta of 0.84, meaning that its stock price is 16% less volatile than the S&P 500. Comparatively, Inspired Entertainment has a beta of 1.27, meaning that its stock price is 27% more volatile than the S&P 500.

Earnings & Valuation

This table compares Eightco and Inspired Entertainment”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Eightco	$43.87 million	0.13	$710,000.00	($3.02)	-0.60
Inspired Entertainment	$297.10 million	0.85	$64.80 million	$1.99	4.73

Inspired Entertainment has higher revenue and earnings than Eightco. Eightco is trading at a lower price-to-earnings ratio than Inspired Entertainment, indicating that it is currently the more affordable of the two stocks.

Summary

Inspired Entertainment beats Eightco on 13 of the 15 factors compared between the two stocks.

About Eightco

Eightco Holdings Inc. provides inventory management and corrugated custom packaging solutions in North America and Europe. It manufactures and sells custom packaging solutions for a various product; and provides and resells bitcoin mining equipment and co-location services. The company was formerly known as Cryptyde, Inc. and changed its name to Eightco Holdings Inc. in April 2023. Eightco Holdings Inc. was incorporated in 1966 and is headquartered in Easton, Pennsylvania.

About Inspired Entertainment

Inspired Entertainment, Inc., a gaming technology company, engages in the supply of content, platform, and other products and services to regulated lottery, betting, and gaming operators worldwide. It operates in four segments: Gaming, Virtual Sports, Interactive, and Leisure. The Gaming segment supplies gaming terminals and software to betting offices, casinos, gaming halls, and high street adult gaming centers; a portfolio of games through its digital terminals under the Centurion and Super Hot Fruits names; and traditional casino games, such as roulette, blackjack, and number games. The Virtual Sports segment designs, develops, markets, and distributes ultra-high-definition sports games, including greyhounds, tennis, motor racing, cycling, cricket, speedway, golf, and dart, and other horse racing games under the V-Play Soccer, V-Play Women's Soccer, V-Play Football, V-Play Basketball, V-Play Baseball, and V-Play NFLA names. The Interactive segment provides a range of random number generated casino content from feature-rich bonus games to European-style casino free spins and table games. The Leisure segment supplies gaming terminals and amusement machines in pubs, bingo halls, and adult gaming centers, as well as family entertainment centers, bowling centers, and other entertainment venues. Inspired Entertainment, Inc. is headquartered in New York, New York.