Financial Survey: System1 (NYSE:SST) and QMMM (NASDAQ:QMMM)

QMMM (NASDAQ:QMMM) and System1 (NYSE:SST) are both business services companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, risk, earnings, dividends, valuation and profitability.

Earnings and Valuation

This table compares QMMM and System1″s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
QMMM	$2.70 million	2,529.95	-$1.58 million	N/A	N/A
System1	$343.92 million	0.13	-$74.67 million	($8.53)	-0.51

QMMM has higher earnings, but lower revenue than System1.

Analyst Recommendations

This is a breakdown of current ratings for QMMM and System1, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
QMMM	1	0	0	0	1.00
System1	1	0	1	0	2.00

System1 has a consensus target price of $10.00, suggesting a potential upside of 130.15%. Given System1’s stronger consensus rating and higher probable upside, analysts clearly believe System1 is more favorable than QMMM.

Risk and Volatility

QMMM has a beta of 29.16, meaning that its share price is 2,816% more volatile than the S&P 500. Comparatively, System1 has a beta of 1.55, meaning that its share price is 55% more volatile than the S&P 500.

Profitability

This table compares QMMM and System1’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
QMMM	N/A	N/A	N/A
System1	-22.78%	-109.87%	-15.60%

Institutional and Insider Ownership

87.5% of System1 shares are owned by institutional investors. 13.2% of System1 shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

About QMMM

QMMM Holdings Ltd. engages in the provision of digital advertising services. It offers interactive design, animation, art-tech and virtual technologies used in commercial campaigns. It has worked with domestic and international banks, real estate developers, amusement parks, international athletic apparel, footwear brands, luxury cosmetic products, and international brands. The company was founded by Bun Kwai on July 29, 2022 and is headquartered in Hong Kong.

About System1

System1, Inc. provides omnichannel customer acquisition platform services through its proprietary responsive acquisition marketing platform in the United States, the United Kingdom, Canada, the Netherlands, and internationally. It operates through two segments: Owned and Operated Advertising, and Partner Network. The company engages in the provision of acquiring traffic to its owned and operated websites, as well as revenue-sharing arrangements and related services. It also operates MapQuest, a web-based navigation service that delivers turn-by-turn direction services to users; Info.com, a metasearch engine that consumers can use to search for relevant information; HowStuffWorks, a commercial website focused on helping people solve problems in their daily lives by using various types of digital media to easily breakdown and explain complex concepts, topics, terminology and mechanisms; Startpage, a private search engine that allows users to browse and search the Internet in complete privacy; and CouponFollow for coupon destinations for online shoppers, as well as ActiveBeat and Infospace. In addition, the company provides antivirus software solutions, which offers customers a single packaged solution that provides protection and reporting to the end users. The company is based in Los Angeles, California.