GREE (OTCMKTS:GREZF) vs. Accel Entertainment (NYSE:ACEL) Financial Review

Accel Entertainment (NYSE:ACEL) and GREE (OTCMKTS:GREZF) are both small-cap consumer discretionary companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, valuation, earnings, institutional ownership, profitability and dividends.

Volatility & Risk

Accel Entertainment has a beta of 1.05, meaning that its stock price is 5% more volatile than the S&P 500. Comparatively, GREE has a beta of -0.27, meaning that its stock price is 127% less volatile than the S&P 500.

Earnings & Valuation

This table compares Accel Entertainment and GREE”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Accel Entertainment	$1.33 billion	0.66	$51.47 million	$0.60	17.94
GREE	N/A	N/A	N/A	N/A	N/A

Accel Entertainment has higher revenue and earnings than GREE.

Insider and Institutional Ownership

55.4% of Accel Entertainment shares are held by institutional investors. 18.3% of Accel Entertainment shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Accel Entertainment and GREE, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Accel Entertainment	0	3	4	0	2.57
GREE	0	0	0	0	0.00

Accel Entertainment currently has a consensus target price of $14.75, suggesting a potential upside of 37.03%. Given Accel Entertainment’s stronger consensus rating and higher probable upside, research analysts clearly believe Accel Entertainment is more favorable than GREE.

Profitability

This table compares Accel Entertainment and GREE’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Accel Entertainment	3.87%	27.49%	6.77%
GREE	N/A	N/A	N/A

Summary

Accel Entertainment beats GREE on 10 of the 10 factors compared between the two stocks.

About Accel Entertainment

Accel Entertainment, Inc., together with its subsidiaries, operates as a distributed gaming operator in the United States. It is involved in the installation, maintenance, and operation of gaming terminals; redemption devices that disburse winnings and contain automated teller machine (ATM) functionality; and other amusement devices in authorized non-casino locations, such as restaurants, bars, taverns, convenience stores, liquor stores, truck stops, and grocery stores. The company also provides gaming solutions to the location partners. In addition, it operates stand-alone ATMs in gaming and non-gaming locations, as well as amusement devices, including jukeboxes, dartboards, pool tables, and other related entertainment equipment. The company is headquartered in Burr Ridge, Illinois.

About GREE

GREE, Inc. operates Internet entertainment, investment, and incubation business in Japan and internationally. It develops and operates various smartphone games under the GREE, WFS, Pokelabo, and GREE Entertainment brands; and engages with anime production committees to develop original contents domestically and internationally. The company also offers REALITY, a metaverse for smartphone for individuals to turn themselves into digital avatar and stream various contents, and VTuber business that allows streamers to host live digital performances, play games, and chat services; and REALITY XR cloud, a cloud solution platform that enables corporate customers to build their own metaverse using 3DCG and XR technologies, as well as develop and publish blockchain games. In addition, it provides Marketing DX a service designed to accompany the evolution of client companies and business growth; Operation DX that manages customer relationships, quality control, and risks associated with business development; and DDM, an analytics platform to restructures disorganized internal data by incorporating real-time visualization. Further, the company offers aumo that provides travel and lifestyle information content including latest information on restaurants, shopping, and travel, as well as user reviews on various stores and other facilities; and support for creation of sales promotion pages, access analysis, and post and dissemination of store and facility information. Additionally, it provides jobda for job-related information; LIMIA, an on-;one magazines that features home and living lifestyle content; MINE, an on-line video magazine that features women's fashion, beauty and lifestyle content; and ARINE, a on-line magazine for young women. The company also offers DADAN to deliver the entertainment of manga; STUDIO DADAN to plan and produce manga content; and invests in internet and IT fields. GREE, Inc. was incorporated in 2004 and is headquartered in Tokyo, Japan.