Le@p Technology (OTCMKTS:LPTC) versus AFC Gamma (NASDAQ:AFCG) Critical Comparison

AFC Gamma (NASDAQ:AFCG) and Le@p Technology (OTCMKTS:LPTC) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, analyst recommendations, dividends, risk, profitability, institutional ownership and earnings.

Analyst Recommendations

This is a summary of current ratings and recommmendations for AFC Gamma and Le@p Technology, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AFC Gamma	0	3	1	1	2.60
Le@p Technology	0	0	0	0	0.00

AFC Gamma currently has a consensus price target of $9.67, suggesting a potential upside of 92.18%. Given AFC Gamma’s stronger consensus rating and higher possible upside, equities analysts plainly believe AFC Gamma is more favorable than Le@p Technology.

Earnings & Valuation

This table compares AFC Gamma and Le@p Technology”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AFC Gamma	$35.76 million	3.18	$20.95 million	$0.80	6.29
Le@p Technology	N/A	N/A	N/A	N/A	N/A

AFC Gamma has higher revenue and earnings than Le@p Technology.

Profitability

This table compares AFC Gamma and Le@p Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AFC Gamma	13.69%	12.93%	8.42%
Le@p Technology	N/A	N/A	N/A

Risk and Volatility

AFC Gamma has a beta of 1.19, suggesting that its stock price is 19% more volatile than the S&P 500. Comparatively, Le@p Technology has a beta of -6.55, suggesting that its stock price is 755% less volatile than the S&P 500.

Insider & Institutional Ownership

26.5% of AFC Gamma shares are owned by institutional investors. 26.2% of AFC Gamma shares are owned by insiders. Comparatively, 1.1% of Le@p Technology shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

AFC Gamma beats Le@p Technology on 11 of the 11 factors compared between the two stocks.

About AFC Gamma

AFC Gamma, Inc. originates, structures, underwrites, and invests in senior secured loans, and other various commercial real estate loans and debt securities for established companies operating in the cannabis industry. It primarily originates loans structured as senior loans secured by real estate, equipment, and licenses and/or other assets of the loan parties to the extent permitted by applicable laws and the regulations governing such loan parties. The company has elected and qualified to be taxed as a real estate investment trust for the United States federal income tax purposes under the Internal Revenue Code of 1986. AFC Gamma, Inc. was incorporated in 2020 and is based in West Palm Beach, Florida.

About Le@p Technology

Le@P Technology, Inc. does not have significant operations. The company plans to pursue acquisition, joint venture, and investment opportunities primarily in the areas of health care technology, and products and services, as well as life sciences. Previously, it was involved in leasing a real property. Le@P Technology, Inc. was founded in 1997 and is based in Fort Lauderdale, Florida.