Creative Realities (NASDAQ:CREX) and Yalla Group (NYSE:YALA) Financial Review

Creative Realities (NASDAQ:CREX) and Yalla Group (NYSE:YALA) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, earnings, valuation, risk, analyst recommendations, profitability and institutional ownership.

Analyst Ratings

This is a summary of current ratings and price targets for Creative Realities and Yalla Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Creative Realities	1	0	0	0	1.00
Yalla Group	0	1	0	0	2.00

Institutional & Insider Ownership

41.3% of Creative Realities shares are held by institutional investors. Comparatively, 4.7% of Yalla Group shares are held by institutional investors. 26.8% of Creative Realities shares are held by insiders. Comparatively, 52.2% of Yalla Group shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Creative Realities and Yalla Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Creative Realities	-20.64%	-10.24%	-4.25%
Yalla Group	42.29%	20.06%	17.73%

Earnings & Valuation

This table compares Creative Realities and Yalla Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Creative Realities	$44.32 million	0.73	-$3.51 million	($0.87)	-3.53
Yalla Group	$348.90 million	3.23	$135.68 million	$0.81	8.81

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

Volatility and Risk

Creative Realities has a beta of 1.48, indicating that its share price is 48% more volatile than the S&P 500. Comparatively, Yalla Group has a beta of 0.41, indicating that its share price is 59% less volatile than the S&P 500.

Summary

Yalla Group beats Creative Realities on 10 of the 12 factors compared between the two stocks.

About Creative Realities

Creative Realities, Inc., together with its subsidiaries, provides digital marketing technology and solutions in the United States and internationally. It offers digital signage and media solutions to enhance communications in a wide-ranging variety of out-of-home environments. The company’s solutions include digital merchandising systems and omni-channel customer engagement systems; interactive digital shopping assistants; advisors and kiosks; and other interactive marketing technologies, such as mobile, social media, point-of-sale transactions, beaconing, and web-based media that enables its customers to engage with their consumers. It also provides hardware system design/engineering, hardware installation, content development, content scheduling, post-deployment network and field support, and media sales, as well as media management and distribution software platforms and networks; device and product management; and customized software service layers, systems, experiences, workflows, and integrated solutions. The company sells its solutions to the automotive, retail, digital out of home comprising advertising networks and retail media networks, foodservice/quick-serve restaurants, financial services, gaming, and sports and entertainment venues. Creative Realities, Inc. is headquartered in Louisville, Kentucky.

About Yalla Group

Yalla Group Limited operates a social networking and gaming platform primarily in the Middle East and North Africa region. It provides mobile applications, including Yalla, a voice-centric group chat platform; and Yalla Ludo, a casual gaming application. The company’s platform offers group chatting and games services; and sells virtual items, as well as provides upgrade services. The company was formerly known as FYXTech Corporation. Yalla Group Limited was founded in 2016 and is headquartered in Dubai, the United Arab Emirates.