Financial Analysis: Scully Royalty (NYSE:SRL) vs. Jet.AI (NASDAQ:JTAI)

Jet.AI (NASDAQ:JTAI) and Scully Royalty (NYSE:SRL) are both small-cap multi-sector conglomerates companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, risk, analyst recommendations, earnings, dividends, institutional ownership and profitability.

Institutional & Insider Ownership

5.5% of Jet.AI shares are owned by institutional investors. Comparatively, 42.0% of Scully Royalty shares are owned by institutional investors. 1.0% of Jet.AI shares are owned by insiders. Comparatively, 1.9% of Scully Royalty shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings for Jet.AI and Scully Royalty, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Jet.AI	1	0	1	0	2.00
Scully Royalty	1	0	0	0	1.00

Jet.AI presently has a consensus target price of $11.00, indicating a potential upside of 1,624.14%. Given Jet.AI’s stronger consensus rating and higher probable upside, analysts clearly believe Jet.AI is more favorable than Scully Royalty.

Profitability

This table compares Jet.AI and Scully Royalty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Jet.AI	-103.18%	-107.36%	-77.17%
Scully Royalty	N/A	N/A	N/A

Earnings & Valuation

This table compares Jet.AI and Scully Royalty”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Jet.AI	$14.02 million	0.18	-$12.73 million	($3.36)	-0.19
Scully Royalty	$25.77 million	4.35	-$15.02 million	N/A	N/A

Jet.AI has higher earnings, but lower revenue than Scully Royalty.

Volatility and Risk

Jet.AI has a beta of -0.15, meaning that its stock price is 115% less volatile than the S&P 500. Comparatively, Scully Royalty has a beta of 0.67, meaning that its stock price is 33% less volatile than the S&P 500.

Summary

Scully Royalty beats Jet.AI on 8 of the 12 factors compared between the two stocks.

About Jet.AI

Jet.AI Inc. primarily engages in the development and operation of private aviation platforms. The company operates CharterGPT, a booking platform that functions as a prospecting and quoting platform to arrange private jet travel with its aircrafts and third-party carriers. It also provides Reroute AI software that recycles aircraft waiting to return to base into prospective new charter bookings to destinations within specific distances; and DynoFlight, a software application programming interface (API), which enables aircraft operators to track and estimate emissions, and purchase carbon offset credits. In addition, the company offers Flight Club API, an aviation software, that enables FAA Part 135 operators to function simultaneously under FAA Part 380, which permits sale of private jet service by the seat instead of by whole aircraft. Further, it offers aircraft charter, management, and brokerage services. The company was founded in 2018 and is headquartered in Las Vegas, Nevada.

About Scully Royalty

Scully Royalty Ltd. operates as an iron ore mining company in the Americas, Africa, Canada, Asia, and Europe. It operates through three segments: Royalty, Industrial, and Merchant Banking. The company holds royalty interest in the Scully iron ore mine located in the Province of Newfoundland and Labrador, Canada. It also engages in manufacturing, and medical supplies and services industries. In addition, the company offers merchant banking and financial services to small and medium sized enterprises; operates projects in resources and services; and holds two industrial real estate parks. Scully Royalty Ltd. was formerly known as MFC Bancorp Ltd. and changed its name to Scully Royalty Ltd. in June 2019. The company was incorporated in 2017 and is based in Shanghai, the People's Republic of China.