Reviewing Strive (NASDAQ:ASST) and PagSeguro Digital (NYSE:PAGS)

PagSeguro Digital (NYSE:PAGS) and Strive (NASDAQ:ASST) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, risk, dividends, institutional ownership, earnings, valuation and analyst recommendations.

Risk and Volatility

PagSeguro Digital has a beta of 1.46, indicating that its share price is 46% more volatile than the S&P 500. Comparatively, Strive has a beta of 13.32, indicating that its share price is 1,232% more volatile than the S&P 500.

Earnings and Valuation

This table compares PagSeguro Digital and Strive”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PagSeguro Digital	$3.65 billion	0.58	$379.40 million	$1.43	5.31
Strive	$5.73 million	319.84	-$420.59 million	($8.84)	-2.43

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

Profitability

This table compares PagSeguro Digital and Strive’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PagSeguro Digital	10.46%	16.36%	3.25%
Strive	-10,957.22%	-141.47%	-95.93%

Analyst Ratings

This is a breakdown of current ratings for PagSeguro Digital and Strive, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PagSeguro Digital	1	6	1	0	2.00
Strive	1	1	5	0	2.57

PagSeguro Digital currently has a consensus target price of $10.07, indicating a potential upside of 32.54%. Strive has a consensus target price of $34.00, indicating a potential upside of 58.51%. Given Strive’s stronger consensus rating and higher probable upside, analysts plainly believe Strive is more favorable than PagSeguro Digital.

Insider & Institutional Ownership

45.9% of PagSeguro Digital shares are held by institutional investors. Comparatively, 5.5% of Strive shares are held by institutional investors. 2.7% of Strive shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

PagSeguro Digital beats Strive on 7 of the 13 factors compared between the two stocks.

About PagSeguro Digital

PagSeguro Digital Ltd., together with its subsidiaries, provides financial technology solutions and services for consumers, individual entrepreneurs, micro-merchants, and small and medium-sized companies in Brazil and internationally. The company's products and services include PagSeguro Ecosystem, a digital ecosystem that operates as a closed loop where its clients are able to address their primary day to day financial needs, including receiving and spending funds, and managing and growing their businesses; PagBank digital account, which offers payment and banking services through the PagBank mobile app, as well as centralizes various cash-in options, functionalities, services, and cash-out options in a single ecosystem; and PlugPag, a tool for medium-sized and larger merchants that enables them to connect their point of sale (POS) device directly to their enterprise resource planning software or sales automation system through Bluetooth. It also offers cash-in solutions; online and in-person payment tools; and online gaming and cross-border digital services, as well as issues prepaid, credit, and cash cards. In addition, the company provides functionalities, and value-added services and features, such as purchase protection mechanisms, antifraud platform, account and business management tools, POS app, i-Banking App, Super App, and e-commerce support and bill payment services; and PedeFácil, an order management and food delivery app. Further, it is involved in processing of back-office solutions, including sales reconciliation, and gateway solutions and services, as well as the capture of credit cards with acquirers and sub acquirers. The company was founded in 2006 and is headquartered in São Paulo, Brazil.

About Strive

Asset Entities Inc., a technology company, provides social media marketing and content delivery services across Discord, TikTok, and other social media platforms. It designs, develops, and manages servers for communities on Discord. The company offers discord investment education, entertainment, and marketing services. It serves retail investors, creators, and influencers. Asset Entities Inc. was founded in 2020 and is based in Dallas, Texas. The company is a subsidiary of Asset Entities Holdings, Llc.