Reviewing Perella Weinberg Partners (NASDAQ:PWP) & MGT Capital Investments (OTCMKTS:MGTI)

MGT Capital Investments (OTCMKTS:MGTI) and Perella Weinberg Partners (NASDAQ:PWP) are both small-cap finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, valuation, earnings, dividends, risk, analyst recommendations and institutional ownership.

Valuation & Earnings

This table compares MGT Capital Investments and Perella Weinberg Partners’ revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MGT Capital Investments	$400,000.00	0.29	-$6.13 million	N/A	N/A
Perella Weinberg Partners	$648.65 million	2.59	-$17.22 million	($1.86)	-9.60

MGT Capital Investments has higher earnings, but lower revenue than Perella Weinberg Partners.

Profitability

This table compares MGT Capital Investments and Perella Weinberg Partners’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MGT Capital Investments	-1,888.47%	N/A	-598.61%
Perella Weinberg Partners	-7.74%	17.87%	7.47%

Volatility & Risk

MGT Capital Investments has a beta of 2.84, indicating that its share price is 184% more volatile than the S&P 500. Comparatively, Perella Weinberg Partners has a beta of 1.5, indicating that its share price is 50% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for MGT Capital Investments and Perella Weinberg Partners, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MGT Capital Investments	0	0	0	0	N/A
Perella Weinberg Partners	1	0	2	0	2.33

Perella Weinberg Partners has a consensus target price of $17.50, suggesting a potential downside of 1.96%. Given Perella Weinberg Partners’ higher possible upside, analysts clearly believe Perella Weinberg Partners is more favorable than MGT Capital Investments.

Insider & Institutional Ownership

41.1% of Perella Weinberg Partners shares are held by institutional investors. 3.8% of MGT Capital Investments shares are held by insiders. Comparatively, 43.5% of Perella Weinberg Partners shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Perella Weinberg Partners beats MGT Capital Investments on 9 of the 11 factors compared between the two stocks.

About MGT Capital Investments

MGT Capital Investments, Inc. engages in cryptocurrency mining business in the United States. It also leases space to other bitcoin miners; and provides hosting services for owners of mining equipment. The company was incorporated in 1977 and is headquartered in Raleigh, North Carolina.

About Perella Weinberg Partners

Perella Weinberg Partners, an independent investment banking company, provides strategic and financial advice services in the United States and internationally. The company offers advisory services related to strategic and financial decisions, mergers and acquisition execution, shareholder and defense advisory, and financing and capital solutions advice with resources focused on restructuring, liability management, and capital markets advisory, as well as underwriting and research services primarily for the energy and related industries. It serves public multinational corporations, mid-sized public and private companies, financial sponsors, individual entrepreneurs, private and institutional investors, creditor committees, and government institutions in consumer and retail; energy and energy transition; financial services and FinTech; healthcare; industrials and infrastructure; and technology, telecommunication, and media industries. Perella Weinberg Partners is headquartered in New York, New York.