Head to Head Analysis: Skillz (NYSE:SKLZ) and Archon (OTCMKTS:ARHN)

Archon (OTCMKTS:ARHN) and Skillz (NYSE:SKLZ) are both consumer discretionary companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, earnings, risk, dividends, analyst recommendations, institutional ownership and valuation.

Earnings and Valuation

This table compares Archon and Skillz”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Archon	N/A	N/A	N/A	N/A	N/A
Skillz	$95.47 million	0.75	-$46.79 million	($4.14)	-1.14

Archon has higher earnings, but lower revenue than Skillz.

Institutional and Insider Ownership

19.4% of Skillz shares are held by institutional investors. 80.0% of Archon shares are held by company insiders. Comparatively, 38.3% of Skillz shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Archon and Skillz, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Archon	0	0	0	0	0.00
Skillz	1	0	1	0	2.00

Skillz has a consensus target price of $15.00, suggesting a potential upside of 217.46%. Given Skillz’s stronger consensus rating and higher possible upside, analysts plainly believe Skillz is more favorable than Archon.

Profitability

This table compares Archon and Skillz’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Archon	N/A	N/A	N/A
Skillz	-69.44%	-50.96%	-22.19%

Summary

Skillz beats Archon on 5 of the 9 factors compared between the two stocks.

About Archon

Archon Corporation, through its subsidiary, Pioneer Hotel Inc., engages in the ownership, management, and operation of casinos and hotels in the United States. It operates the Pioneer Hotel & Gambling Hall (the Pioneer) in Laughlin, Nevada that consists of a casino. The company also owns real estate properties on Las Vegas Boulevard South in Las Vegas, Nevada; and rental properties that include commercial office space in Dorchester, Massachusetts. Archon Corporation was founded in 1991 and is based in Laughlin, Nevada.

About Skillz

Skillz Inc. operates a mobile game platform in the United States and internationally. The company primarily develops and supports a proprietary online-hosted technology platform that enables independent game developers to host tournaments and provide competitive gaming activity to end-users. The company distributes games through direct app download from its website, as well as through third-party platforms. Skillz Inc. was founded in 2012 and is based in San Francisco, California.