Critical Analysis: Marqeta (NASDAQ:MQ) & NetObjects (OTCMKTS:NETO)

Marqeta (NASDAQ:MQ) and NetObjects (OTCMKTS:NETO) are both business services companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, dividends, institutional ownership, valuation, analyst recommendations, profitability and earnings.

Volatility and Risk

Marqeta has a beta of 1.73, suggesting that its stock price is 73% more volatile than the S&P 500. Comparatively, NetObjects has a beta of 0.87, suggesting that its stock price is 13% less volatile than the S&P 500.

Profitability

This table compares Marqeta and NetObjects’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Marqeta	2.86%	1.20%	0.92%
NetObjects	N/A	N/A	N/A

Earnings and Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Marqeta	$676.17 million	2.95	-$222.96 million	$0.02	196.50
NetObjects	N/A	N/A	N/A	N/A	N/A

NetObjects has lower revenue, but higher earnings than Marqeta.

Insider & Institutional Ownership

78.6% of Marqeta shares are held by institutional investors. 12.1% of Marqeta shares are held by company insiders. Comparatively, 13.6% of NetObjects shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Marqeta and NetObjects, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Marqeta	0	10	6	0	2.38
NetObjects	0	0	0	0	0.00

Marqeta currently has a consensus target price of $6.27, suggesting a potential upside of 59.46%. Given Marqeta’s stronger consensus rating and higher possible upside, equities analysts plainly believe Marqeta is more favorable than NetObjects.

Summary

Marqeta beats NetObjects on 9 of the 10 factors compared between the two stocks.

About Marqeta

Marqeta, Inc. operates a cloud-based open application programming interface platform that delivers card issuing and transaction processing services. It offers its solutions in various verticals, including financial services, on-demand services, expense management, and e-commerce enablement, as well as buy now, pay later. Marqeta, Inc. was incorporated in 2010 and is headquartered in Oakland, California.

About NetObjects

NetObjects Inc. provides web design software and templates. The company offers NetObjects Fusion, a web design software that enables to build, manage, and promote websites; and NetObjects Fusion Essentials, a free drag-and-drop website builder. It also provides NetObjects Mosaic, an online application for mobile website designing; and publishes website for photographers. The company was founded in 1996 and is based in Doylestown, Pennsylvania.