Analyzing Gamehaus (NASDAQ:GMHS) and Motorsport Games (NASDAQ:MSGM)

Motorsport Games (NASDAQ:MSGM) and Gamehaus (NASDAQ:GMHS) are both small-cap communication services companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, dividends, risk, valuation and profitability.

Volatility & Risk

Motorsport Games has a beta of 1.71, indicating that its share price is 71% more volatile than the S&P 500. Comparatively, Gamehaus has a beta of 0.6, indicating that its share price is 40% less volatile than the S&P 500.

Insider and Institutional Ownership

1.7% of Motorsport Games shares are owned by institutional investors. Comparatively, 63.7% of Gamehaus shares are owned by institutional investors. 4.6% of Motorsport Games shares are owned by company insiders. Comparatively, 27.7% of Gamehaus 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.

Profitability

This table compares Motorsport Games and Gamehaus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Motorsport Games	16.15%	41.13%	24.51%
Gamehaus	4.52%	14.41%	10.35%

Analyst Recommendations

This is a summary of recent recommendations and price targets for Motorsport Games and Gamehaus, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Motorsport Games	0	2	0	0	2.00
Gamehaus	1	0	0	0	1.00

Earnings and Valuation

This table compares Motorsport Games and Gamehaus”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Motorsport Games	$11.30 million	1.44	$6.93 million	$0.43	9.07
Gamehaus	$118.05 million	0.33	$3.96 million	$0.10	7.26

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

Summary

Motorsport Games beats Gamehaus on 9 of the 12 factors compared between the two stocks.

About Motorsport Games

Motorsport Games Inc. develops and publishes multi-platform racing video games in the United States. It operates through Gaming and Esports segments. The company offers rFactor 2, a realistic racing simulation game; NASCAR Heat Mobile, a racing experience for mobile devices; NASCAR Heat 3, NASCAR Heat 4, NASCAR Heat 5, NASCAR Heat Ultimate Edition, and NASCAR 21: Ignition, which are racing video games; KartKraft, a kart racing simulator; NASCAR Rivals, a racing video game; and Le Mans Ultimate, a official game of the FIA World Endurance Championship and 24 Hours of Le Mans. It also organizes and facilitates esports tournaments, competitions, and events for its licensed racing games, as well as on behalf of third-party racing game developers and publishers. The company offers its products for game consoles, personal computer, and mobile platforms through various retail and digital channels, including full-game and downloadable content. The company was founded in 2018 and is headquartered in Miami, Florida. Motorsport Games Inc. operates as a subsidiary of Motorsport Network LLC.

About Gamehaus

Gamehaus Holdings Inc. is a mobile game developer and publisher. Gamehaus Holdings Inc. is headquartered in Beijing, China.