Alset (NASDAQ:AEI) and TROOPS (NASDAQ:TROO) Critical Analysis

TROOPS (NASDAQ:TROO) and Alset (NASDAQ:AEI) are both small-cap multi-sector conglomerates companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, profitability, dividends, analyst recommendations, earnings, institutional ownership and valuation.

Risk and Volatility

TROOPS has a beta of 2.94, suggesting that its stock price is 194% more volatile than the S&P 500. Comparatively, Alset has a beta of 1.43, suggesting that its stock price is 43% more volatile than the S&P 500.

Profitability

This table compares TROOPS and Alset’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TROOPS	N/A	N/A	N/A
Alset	-105.02%	-12.09%	-11.50%

Insider & Institutional Ownership

2.7% of Alset shares are held by institutional investors. 1.1% of TROOPS shares are held by insiders. Comparatively, 90.3% of Alset 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.

Earnings and Valuation

This table compares TROOPS and Alset”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TROOPS	$10.07 million	42.57	-$13.41 million	N/A	N/A
Alset	$21.12 million	5.51	-$3.97 million	($1.19)	-2.51

Alset has higher revenue and earnings than TROOPS.

Analyst Ratings

This is a summary of current ratings and target prices for TROOPS and Alset, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TROOPS	1	0	0	0	1.00
Alset	1	0	0	0	1.00

Summary

TROOPS beats Alset on 5 of the 9 factors compared between the two stocks.

About TROOPS

TROOPS, Inc., together with its subsidiaries, engages in the money lending business in Hong Kong and Australia. The company provides mortgage, personal, and corporate loans; operates online financial marketplace through a platform for money lending, system integration, and consultation services; and invests in real estate properties in Hong Kong. It also offers fintech and IT support services, which includes artificial intelligence, big data and blockchain technology, machine learning, fingerprint ID, facial recognition, and cloud computing, and GFS strives; and engages in property leasing and management services. The company was formerly known as SGOCO Group, Ltd. and changed its name to TROOPS, Inc. in November 2021. TROOPS, Inc. was founded in 2005 and is headquartered in Tsuen Wan, Hong Kong.

About Alset

Alset Inc. engages in the real estate development, financial services, digital transformation technologies, biohealth activities, and consumer products businesses in the United States, Singapore, Hong Kong, Australia, and South Korea. It operates through four segments: Real Estate, Digital Transformation Technology, Biohealth, and Other Business Activities segments. The Real Estate segment develops property projects and participates in third-party property development projects; and owns, operates, and manages real estate development projects with a focus on land subdivision developments and house rental projects. Its Digital Transformation Technology segment provides support, implementation, and development services with various technologies, including blockchain, e-commerce, social media, and artificial intelligent customer service application and metaverse services. Its technology platform focuses on business-to-business solutions, such as communications and workflow through instant messaging systems, social media, e-commerce and payment systems, direct marketing platforms, e-real estate, brand protection, and counterfeit and fraud detection; and mobile application product development and other businesses, including information technology services to end-users, service providers, and other commercial users through multiple platforms. The Biohealth segment engages in developing, researching, testing, manufacturing, licensing, and distributing biohealth products and services. Its Other Business Activities segment offers corporate strategy and business development, asset management, corporate restructuring, and leveraged buy-out expertise services. It operates cafes in Singapore and South Korea. The company was formerly known as Alset EHome International Inc. and changed its name to Alset Inc. in October 2022. The company was incorporated in 2018 and is headquartered in Bethesda, Maryland.