Analyzing Paymentus (NYSE:PAY) and Ryvyl (NASDAQ:RVYL)

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

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Ryvyl	-36.89%	N/A	-21.79%
Paymentus	5.29%	12.68%	10.68%

Risk and Volatility

Ryvyl has a beta of 2.85, suggesting that its share price is 185% more volatile than the S&P 500. Comparatively, Paymentus has a beta of 1.49, suggesting that its share price is 49% more volatile than the S&P 500.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ryvyl	$56.00 million	0.13	-$26.83 million	($36.37)	-0.15
Paymentus	$871.74 million	3.75	$44.17 million	$0.46	56.64

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

Analyst Ratings

This is a breakdown of recent ratings and target prices for Ryvyl and Paymentus, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ryvyl	1	1	0	0	1.50
Paymentus	0	4	3	1	2.63

Paymentus has a consensus price target of $37.00, suggesting a potential upside of 42.01%. Given Paymentus’ stronger consensus rating and higher probable upside, analysts clearly believe Paymentus is more favorable than Ryvyl.

Insider & Institutional Ownership

17.4% of Ryvyl shares are owned by institutional investors. Comparatively, 78.4% of Paymentus shares are owned by institutional investors. 12.4% of Ryvyl shares are owned by company insiders. Comparatively, 87.8% of Paymentus shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Paymentus beats Ryvyl on 14 of the 15 factors compared between the two stocks.

About Ryvyl

Ryvyl Inc., a technology company, engages in the development, marketing, and sale of blockchain-based payment solutions in North America, Europe, and Asia. The company's blockchain-based systems facilitate, record, and store a volume of tokenized assets representing cash or data on a blockchain-based ledger. Its products include QuickCard Payment System, a physical and virtual payment card processing management system, including software that facilitates on and off ramp e-wallet management; Coyni, a digital token platform, which offers custodial assurance by utilizing its stable coin and blockchain technology in a closed-loop ecosystem; and ChargeSavvy, an end-to-end POS solution comprising software and hardware for the restaurant and hospitality industry. It serves customers in various industries, including foreign exchange, retail, and e-commerce sectors. The company was formerly known as GreenBox POS and changed its name to Ryvyl Inc. in October 2022. Ryvyl Inc. is based in San Diego, California.

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.