Sprott (NYSE:SII) and SHF (NASDAQ:SHFS) Financial Survey

Sprott (NYSE:SII) and SHF (NASDAQ:SHFS) are both small-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, valuation, institutional ownership, dividends, analyst recommendations, risk and earnings.

Insider & Institutional Ownership

28.3% of Sprott shares are owned by institutional investors. Comparatively, 29.2% of SHF shares are owned by institutional investors. 18.3% of Sprott shares are owned by company insiders. Comparatively, 60.5% of SHF shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Sprott and SHF’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sprott	$169.02 million	6.52	$41.80 million	$1.79	23.80
SHF	$20.72 million	1.41	-$17.28 million	($0.28)	-1.88

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

Analyst Recommendations

This is a summary of current ratings and target prices for Sprott and SHF, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sprott	0	0	0	1	4.00
SHF	0	0	0	0	N/A

Risk & Volatility

Sprott has a beta of 1.11, indicating that its stock price is 11% more volatile than the S&P 500. Comparatively, SHF has a beta of 0.16, indicating that its stock price is 84% less volatile than the S&P 500.

Profitability

This table compares Sprott and SHF’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sprott	28.76%	15.15%	11.98%
SHF	-79.25%	-50.38%	-22.61%

Summary

Sprott beats SHF on 10 of the 12 factors compared between the two stocks.

About Sprott

Sprott Inc. is a publicly owned asset management holding company. Through its subsidiaries, the firm provides asset management, portfolio management, wealth management, fund management, and administrative and consulting services to its clients. It offers mutual funds, hedge funds, and offshore funds, along with managed accounts. Further, the firm also provides broker-dealer activities. Sprott Inc. was formed on February 13, 2008 and is based in Toronto, Canada.

About SHF

SHF Holdings, Inc., through its subsidiaries, provides access to banking, lending, and other financial services to financial institutions serving the cannabis industry. The company, through its proprietary platform, offers access to business checking and savings accounts, cash management accounts, savings and investment options, commercial lending, courier services, remote deposit services, automated clearing house payments and origination, and wire payments. Its services allow cannabis related businesses to obtain services from financial institutions that allow them to run their business with enhanced financial insight into their business and access to resources. The company was founded in 2015 and is based in Golden, Colorado. SHF Holdings, Inc. operates as a subsidiary of Partner Colorado Credit Union.