Oportun Financial (NASDAQ:OPRT) vs. The9 (NASDAQ:NCTY) Financial Analysis

The9 (NASDAQ:NCTY) and Oportun Financial (NASDAQ:OPRT) are both small-cap computer and technology 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 The9 and Oportun Financial, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
The9	0	0	0	0	N/A
Oportun Financial	0	4	2	0	2.33

Oportun Financial has a consensus price target of $6.00, suggesting a potential upside of 70.94%. Given Oportun Financial’s higher possible upside, analysts plainly believe Oportun Financial is more favorable than The9.

Earnings & Valuation

This table compares The9 and Oportun Financial’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
The9	$25.22 million	1.44	$2.82 million	N/A	N/A
Oportun Financial	$1.06 billion	0.12	-$179.95 million	($5.05)	-0.70

The9 has higher earnings, but lower revenue than Oportun Financial.

Profitability

This table compares The9 and Oportun Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
The9	N/A	N/A	N/A
Oportun Financial	-17.02%	-31.58%	-4.02%

Risk and Volatility

The9 has a beta of 1.88, suggesting that its stock price is 88% more volatile than the S&P 500. Comparatively, Oportun Financial has a beta of 1.13, suggesting that its stock price is 13% more volatile than the S&P 500.

Insider & Institutional Ownership

0.5% of The9 shares are owned by institutional investors. Comparatively, 82.7% of Oportun Financial shares are owned by institutional investors. 30.8% of The9 shares are owned by insiders. Comparatively, 10.2% of Oportun Financial 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

The9 beats Oportun Financial on 7 of the 11 factors compared between the two stocks.

About The9

The9 Limited, together with its subsidiaries, operates as Internet company in the People's Republic of China and internationally. It also involves in the operation of cryptocurrency mining and Non-Fungible Token platform NFTSTAR, a NFT trading and community platform that provides users with purchase, trade, and interactive activities. The company was formerly known as GameNow.net Limited and changed its name to The9 Limited in February 2004. The9 Limited was incorporated in 1999 and is headquartered in Shanghai, the People's Republic of China.

About Oportun Financial

Oportun Financial Corporation provides financial services. The company offers personal loans and credit cards. It serves customers through online and over the phone, as well as through retail and Lending as a Service partner locations. The company was founded in 2005 and is headquartered in San Carlos, California.