Katapult (NASDAQ:KPLT – Get Free Report) and FirstCash (NASDAQ:FCFS – Get Free Report) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, earnings, valuation, analyst recommendations, dividends, profitability and risk.
Valuation and Earnings
This table compares Katapult and FirstCash”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Katapult | $301.71 million | 0.13 | $1.37 million | $1.37 | 5.85 |
| FirstCash | $4.29 billion | 1.82 | $330.38 million | $9.23 | 19.72 |
FirstCash has higher revenue and earnings than Katapult. Katapult is trading at a lower price-to-earnings ratio than FirstCash, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for Katapult and FirstCash, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Katapult | 1 | 0 | 0 | 0 | 1.00 |
| FirstCash | 0 | 1 | 5 | 0 | 2.83 |
FirstCash has a consensus price target of $247.50, indicating a potential upside of 35.96%. Given FirstCash’s stronger consensus rating and higher probable upside, analysts clearly believe FirstCash is more favorable than Katapult.
Risk & Volatility
Katapult has a beta of 1.58, suggesting that its stock price is 58% more volatile than the S&P 500. Comparatively, FirstCash has a beta of 0.59, suggesting that its stock price is 41% less volatile than the S&P 500.
Insider & Institutional Ownership
26.8% of Katapult shares are held by institutional investors. Comparatively, 80.3% of FirstCash shares are held by institutional investors. 8.0% of Katapult shares are held by company insiders. Comparatively, 2.9% of FirstCash 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.
Profitability
This table compares Katapult and FirstCash’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Katapult | 3.60% | -26.41% | 10.86% |
| FirstCash | 9.48% | 20.17% | 8.52% |
Summary
FirstCash beats Katapult on 11 of the 14 factors compared between the two stocks.
About Katapult
Katapult Holdings, Inc. (NASDAQ: KPLT) is a financial technology company that provides lease-to-own payment solutions for consumers who may not qualify for traditional credit. Through its platform, consumers can obtain products from participating merchants and pay for them over time under lease-purchase agreements. Katapult’s technology is designed for integration with e-commerce and omnichannel retail platforms, allowing merchants to offer alternative payment options at the point of sale. The company supports purchases across product categories such as consumer electronics, appliances, furniture, mattresses and other household goods.
About FirstCash
FirstCash Holdings, Inc. operates pawn stores that provide short-term, non-recourse loans secured by personal property and sell previously owned merchandise. Its stores also purchase items from customers, including jewelry, electronics, tools and other goods. The company serves customers in the United States and Latin America, including Mexico, Guatemala, El Salvador and Colombia. Its retail operations offer a range of pre-owned goods, with jewelry among its key product categories. FirstCash was formed in 2016 through the merger of First Cash Financial Services and Cash America International.
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