Analyzing Oxford Square Capital (NASDAQ:OXSQ) and Corpay (NYSE:CPAY)

Oxford Square Capital (NASDAQ:OXSQ) and Corpay (NYSE:CPAY) are both finance companies, but which is the better investment? We will compare the two companies based on the strength of their risk, institutional ownership, analyst recommendations, earnings, profitability, valuation and dividends.

Valuation & Earnings

This table compares Oxford Square Capital and Corpay”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Oxford Square Capital	$40.34 million	3.84	-$18.73 million	($0.45)	-3.20
Corpay	$5.02 billion	5.33	$1.07 billion	$16.43	24.78

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

Profitability

This table compares Oxford Square Capital and Corpay’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Oxford Square Capital	-93.65%	14.41%	6.81%
Corpay	22.72%	42.18%	6.34%

Institutional and Insider Ownership

6.4% of Oxford Square Capital shares are owned by institutional investors. Comparatively, 98.8% of Corpay shares are owned by institutional investors. 6.5% of Oxford Square Capital shares are owned by insiders. Comparatively, 5.2% of Corpay shares are owned by 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.

Volatility and Risk

Oxford Square Capital has a beta of 0.36, suggesting that its stock price is 64% less volatile than the S&P 500. Comparatively, Corpay has a beta of 0.87, suggesting that its stock price is 13% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and target prices for Oxford Square Capital and Corpay, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Oxford Square Capital	1	0	0	0	1.00
Corpay	0	3	12	0	2.80

Corpay has a consensus target price of $426.08, indicating a potential upside of 4.64%. Given Corpay’s stronger consensus rating and higher probable upside, analysts clearly believe Corpay is more favorable than Oxford Square Capital.

Summary

Corpay beats Oxford Square Capital on 12 of the 14 factors compared between the two stocks.

About Oxford Square Capital

Oxford Square Capital Corp. is a business development company, operates as a closed-end, non-diversified management investment company. It is a private equity and mezzanine firm. The firm invests in both public and private companies. It invests in secured and unsecured senior debt, subordinated debt, junior subordinated debt, preferred stock, common stock and syndicated bank loans. The firm primarily invests in debt and/or equity securities of technology-related companies that operate in the computer software, Internet, information technology infrastructure and services, media, telecommunications and telecommunications equipment, semiconductors, hardware, technology-enabled services, semiconductor capital equipment, medical device technology, diversified technology, and networking systems sectors. It concentrates its investments in companies having annual revenues of less than $200 million and a market capitalization or enterprise value of less than $300 million. The firm invests between $5 million and $30 million per transaction. It seeks to exit its investments within 7 years. It serves as the investment adviser to TICC. Oxford Square Capital Corp., formerly known as TICC Capital Corp., was founded in 2003 and is headquartered in Greenwich, Connecticut.

About Corpay

Volatus is a leader in innovative global aerial solutions for intelligence and cargo. With over 100 years of combined institutional knowledge in aviation, Volatus provides comprehensive solutions using both piloted and remotely piloted aircraft systems for a wide array of industries, including oil and gas, energy utilities, healthcare, public safety, and infrastructure. The Company is committed to enhancing operational efficiency, safety, and sustainability through cutting-edge aerial technologies.