Archon (OTCMKTS:ARHN) and Allied Gaming & Entertainment (NASDAQ:AGAE) Critical Review

Allied Gaming & Entertainment (NASDAQ:AGAE) and Archon (OTCMKTS:ARHN) are both consumer discretionary companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, valuation, earnings, risk, dividends, analyst recommendations and profitability.

Insider & Institutional Ownership

3.2% of Allied Gaming & Entertainment shares are owned by institutional investors. 39.4% of Allied Gaming & Entertainment shares are owned by company insiders. Comparatively, 80.0% of Archon shares are owned by company 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 Allied Gaming & Entertainment and Archon’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Allied Gaming & Entertainment	-280.09%	-19.56%	-11.82%
Archon	N/A	N/A	N/A

Valuation and Earnings

This table compares Allied Gaming & Entertainment and Archon”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allied Gaming & Entertainment	$9.08 million	1.67	-$16.76 million	($0.54)	-0.74
Archon	N/A	N/A	N/A	N/A	N/A

Archon has lower revenue, but higher earnings than Allied Gaming & Entertainment.

Volatility and Risk

Allied Gaming & Entertainment has a beta of 1.58, indicating that its share price is 58% more volatile than the S&P 500. Comparatively, Archon has a beta of 0.03, indicating that its share price is 97% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations for Allied Gaming & Entertainment and Archon, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allied Gaming & Entertainment	1	0	0	0	1.00
Archon	0	0	0	0	0.00

About Allied Gaming & Entertainment

Allied Gaming & Entertainment, Inc. operates as an experiential entertainment company, which engages in the creation of esports venues and live events for both video games and poker. The company was founded in 2017 and is headquartered in New York, NY.

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.