OppFi (NYSE:OPFI) vs. Paymentus (NYSE:PAY) Head-To-Head Analysis

OppFi (NYSE:OPFI) and Paymentus (NYSE:PAY) are both business services companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, profitability, institutional ownership, dividends, earnings and analyst recommendations.

Profitability

This table compares OppFi and Paymentus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OppFi	10.86%	39.90%	15.95%
Paymentus	5.78%	13.75%	11.53%

Valuation & Earnings

This table compares OppFi and Paymentus”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
OppFi	$597.05 million	1.19	$26.33 million	$0.93	8.96
Paymentus	$1.20 billion	2.20	$66.94 million	$0.57	36.68

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

Insider and Institutional Ownership

7.1% of OppFi shares are held by institutional investors. Comparatively, 78.4% of Paymentus shares are held by institutional investors. 70.2% of OppFi shares are held by insiders. Comparatively, 75.4% of Paymentus shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings for OppFi and Paymentus, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OppFi	0	3	1	0	2.25
Paymentus	0	3	3	1	2.71

OppFi currently has a consensus target price of $13.00, indicating a potential upside of 55.97%. Paymentus has a consensus target price of $35.20, indicating a potential upside of 68.34%. Given Paymentus’ stronger consensus rating and higher probable upside, analysts clearly believe Paymentus is more favorable than OppFi.

Risk and Volatility

OppFi has a beta of 1.79, meaning that its share price is 79% more volatile than the S&P 500. Comparatively, Paymentus has a beta of 1.33, meaning that its share price is 33% more volatile than the S&P 500.

Summary

Paymentus beats OppFi on 10 of the 15 factors compared between the two stocks.

About OppFi

OppFi Inc. operates a cialty finance platform that allows banks to offer credit access. Its platform facilitates the OppLoans, an installment loan product; SalaryTap, a payroll deduction secured installment loan product; and OppFi Card, a credit card product. OppFi Inc. was founded in 2012 and is headquartered in Chicago, Illinois.

About Paymentus

Paymentus Holdings, Inc. provides cloud-based bill payment technology and solutions in the United States and internationally. The company offers electronic bill presentment and payment services, enterprise customer communication, and self-service revenue management to billers through a software-as-a-service technology platform. Its platform's payment processing includes credit cards, debit cards, eChecks, and digital wallets. It serves utility, financial service, government, insurance, telecommunication, real estate management, education, consumer finance, healthcare, and small business industries. The company was founded in 2004 and is headquartered in Charlotte, North Carolina.