Reviewing Loomis (OTCMKTS:LOIMF) and Paysafe (NYSE:PSFE)

Loomis (OTCMKTS:LOIMF) and Paysafe (NYSE:PSFE) are both business services companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, risk, analyst recommendations, dividends, valuation, earnings and profitability.

Analyst Ratings

This is a summary of current ratings and price targets for Loomis and Paysafe, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Loomis	0	0	0	0	0.00
Paysafe	2	4	1	0	1.86

Paysafe has a consensus target price of $10.26, suggesting a potential upside of 33.42%. Given Paysafe’s stronger consensus rating and higher probable upside, analysts clearly believe Paysafe is more favorable than Loomis.

Risk and Volatility

Loomis has a beta of -1.55, suggesting that its share price is 255% less volatile than the S&P 500. Comparatively, Paysafe has a beta of 1.76, suggesting that its share price is 76% more volatile than the S&P 500.

Profitability

This table compares Loomis and Paysafe’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Loomis	5.73%	13.56%	4.52%
Paysafe	-7.35%	11.68%	1.99%

Earnings & Valuation

This table compares Loomis and Paysafe”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Loomis	$2.88 billion	0.97	$155.24 million	$2.61	14.92
Paysafe	$1.70 billion	0.27	$22.16 million	($2.16)	-3.56

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

Institutional & Insider Ownership

54.4% of Paysafe shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Loomis beats Paysafe on 8 of the 13 factors compared between the two stocks.

About Loomis

Loomis AB (publ) provides solutions for the distribution, payments, handling, storage, and recycling of cash and other valuables. The company offers a range of solutions for cash in transit, cash management services, foreign exchange services, automated teller machines, automated solutions, and international valuables logistics, as well as operates Loomis Pay, a payment service that enables processing of various types of payment methods, such as card, cash, and digital alternatives. It serves financial institutions, banks, retailers, commercial enterprises, and other customers, as well as public sector in Sweden, the United States, France, Switzerland, Spain, the United Kingdom, and internationally. Loomis AB (publ) was founded in 1852 and is headquartered in Stockholm, Sweden.

About Paysafe

Paysafe Limited provides end-to-end payment solutions in the United States, Germany, the United Kingdom, and internationally. Its payments platform offers a range of payment solutions comprising credit and debit card processing, digital wallet, eCash, and real-time banking solutions for entertainment verticals, such as iGaming, including online betting related to sports, e-sports, fantasy sports, poker, and other casino games, as well as travel, streaming/video gaming, retail/hospitality, and digital assets. The company operates through two segments, Merchant Solutions and Digital Wallets. The Merchant Solutions segment offers PCI-compliant payment acceptance and transaction processing solutions for merchants and integrated service providers, including merchant acquiring, transaction processing, gateway solutions, fraud and risk management tools, data and analytics, point of sale systems, and merchant financing solutions, as well as comprehensive support services under the Paysafe and Petroleum Card Services brands. The Digital Wallets segment offers digital wallet solutions under the Skrill, NETELLER, paysafecard, and Paysafecash brands; and pay-by-bank solutions under the Rapid Transfer brand. It also provides eCash solutions under the paysafecard and Paysafecash brands; paysafecard prepaid Mastercard that can be linked to a digital paysafecard account and used to make purchases; Safetypay, a platform that enables eCommerce transactions; and PagoEfectivo, an alternative payment platform. The company is based in London, the United Kingdom.