Critical Survey: Gogoro (NASDAQ:GGR) vs. Lesaka Technologies (NASDAQ:LSAK)

Gogoro (NASDAQ:GGR) and Lesaka Technologies (NASDAQ:LSAK) are both small-cap business services companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, valuation, institutional ownership, dividends, earnings and risk.

Analyst Ratings

This is a breakdown of current ratings and target prices for Gogoro and Lesaka Technologies, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gogoro	1	0	0	0	1.00
Lesaka Technologies	1	1	0	0	1.50

Risk and Volatility

Gogoro has a beta of 0.89, suggesting that its share price is 11% less volatile than the S&P 500. Comparatively, Lesaka Technologies has a beta of 0.31, suggesting that its share price is 69% less volatile than the S&P 500.

Insider and Institutional Ownership

15.9% of Gogoro shares are owned by institutional investors. Comparatively, 24.2% of Lesaka Technologies shares are owned by institutional investors. 3.4% of Lesaka Technologies shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Gogoro and Lesaka Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gogoro	-24.98%	-55.12%	-10.59%
Lesaka Technologies	-4.11%	-15.95%	-4.30%

Valuation and Earnings

This table compares Gogoro and Lesaka Technologies”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gogoro	$281.48 million	0.21	-$79.97 million	($4.72)	-0.83
Lesaka Technologies	$328.70 million	1.25	-$87.50 million	($0.35)	-13.74

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

Summary

Lesaka Technologies beats Gogoro on 9 of the 12 factors compared between the two stocks.

About Gogoro

Gogoro Inc. provides battery swapping services in Taiwan, India, and internationally. It also develops Swap and Go battery system that delivers full power to electric-powered two-wheelers. In addition, the company offers battery swapping technology in the form of hardware, software, and service, including Gogoro Smart Batteries, GoStation, Gogoro Network Software & Battery Management Systems, Smartscooter, GoReward, and related components and kits. The company was incorporated in 2011 and is based in Taipei, Taiwan.

About Lesaka Technologies

Lesaka Technologies, Inc. operates as a Fintech company that utilizes its proprietary banking and payment technologies to deliver financial services solutions to merchants (B2B) and consumers (B2C) in Southern Africa. It offers cash management solutions, growth capital, card acquiring, bill payment technologies, and value-added services to formal and informal retail merchants, as well as banking, lending, and insurance solutions to consumers across Southern Africa. The company also engages in the sale of POS devices, SIM cards, and other consumables; and license of rights to use certain technology developed by the company, as well as offers related technology services. The company was formerly known as Net 1 UEPS Technologies, Inc. and changed its name to Lesaka Technologies, Inc. in May 2022. Lesaka Technologies, Inc. was incorporated in 1997 and is headquartered in Johannesburg, South Africa.