Analyzing Payoneer Global (NASDAQ:PAYO) and Expensify (NASDAQ:EXFY)

Payoneer Global (NASDAQ:PAYOGet Free Report) and Expensify (NASDAQ:EXFYGet Free Report) are both small-cap business services companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, institutional ownership, valuation, earnings, analyst recommendations, profitability and risk.

Institutional & Insider Ownership

82.2% of Payoneer Global shares are held by institutional investors. Comparatively, 68.4% of Expensify shares are held by institutional investors. 2.6% of Payoneer Global shares are held by company insiders. Comparatively, 17.3% of Expensify shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Payoneer Global and Expensify’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Payoneer Global 6.95% 10.89% 0.99%
Expensify -15.05% -16.00% -11.42%

Risk & Volatility

Payoneer Global has a beta of 1.1, meaning that its share price is 10% more volatile than the S&P 500. Comparatively, Expensify has a beta of 1.74, meaning that its share price is 74% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings for Payoneer Global and Expensify, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Payoneer Global 0 1 7 0 2.88
Expensify 1 1 1 0 2.00

Payoneer Global currently has a consensus target price of $8.43, indicating a potential upside of 95.11%. Expensify has a consensus target price of $3.50, indicating a potential upside of 268.38%. Given Expensify’s higher possible upside, analysts clearly believe Expensify is more favorable than Payoneer Global.

Earnings and Valuation

This table compares Payoneer Global and Expensify”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Payoneer Global $1.05 billion 1.46 $73.19 million $0.19 22.74
Expensify $142.10 million 0.54 -$21.39 million ($0.24) -3.96

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

Summary

Payoneer Global beats Expensify on 11 of the 14 factors compared between the two stocks.

About Payoneer Global

(Get Free Report)

Payoneer Global Inc. operates as a financial technology company. It operates a payment infrastructure platform that provides customers with a one-stop, global, multi-currency account to serve their accounts receivable and accounts payable needs. The company delivers a suite of services that includes cross-border payments, physical and virtual MasterCard cards, working capital, risk management, and other services. It also offers various payment options with minimal integration required, full back-office functions, and customer support offered. The company's platform delivers bank-grade security, stability, and redundancy. It serves customers, such as small and medium-sized businesses in approximately 190 countries and territories worldwide. Payoneer Global Inc. was founded in 2005 and is headquartered in New York, New York.

About Expensify

(Get Free Report)

Expensify, Inc. provides a cloud-based expense management software platform to individuals and corporations, small and midsized businesses, and enterprises in the United States and internationally. The company’s platform enables users to manage corporate cards, pay bills, generate invoices, collect payments, and book travel. It also offers track and submit plans for individuals. The company was founded in 2008 and is based in Portland, Oregon.

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