Clover Leaf Capital (NASDAQ:CLOE) & Rush Street Interactive (NYSE:RSI) Critical Contrast

Clover Leaf Capital (NASDAQ:CLOE) and Rush Street Interactive (NYSE:RSI) are both consumer discretionary companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, valuation, risk, institutional ownership, profitability and dividends.

Risk & Volatility

Clover Leaf Capital has a beta of 0.08, meaning that its stock price is 92% less volatile than the S&P 500. Comparatively, Rush Street Interactive has a beta of 1.79, meaning that its stock price is 79% more volatile than the S&P 500.

Valuation & Earnings

This table compares Clover Leaf Capital and Rush Street Interactive”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Clover Leaf Capital	N/A	N/A	-$1.05 million	($0.23)	-54.35
Rush Street Interactive	$801.55 million	3.09	-$18.31 million	($0.17)	-64.82

Clover Leaf Capital has higher earnings, but lower revenue than Rush Street Interactive. Rush Street Interactive is trading at a lower price-to-earnings ratio than Clover Leaf Capital, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

18.5% of Clover Leaf Capital shares are held by institutional investors. Comparatively, 24.8% of Rush Street Interactive shares are held by institutional investors. 73.0% of Clover Leaf Capital shares are held by company insiders. Comparatively, 56.9% of Rush Street Interactive shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent recommendations for Clover Leaf Capital and Rush Street Interactive, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Clover Leaf Capital	0	0	0	0	N/A
Rush Street Interactive	0	2	4	0	2.67

Rush Street Interactive has a consensus price target of $11.17, suggesting a potential upside of 1.33%. Given Rush Street Interactive’s higher possible upside, analysts plainly believe Rush Street Interactive is more favorable than Clover Leaf Capital.

Profitability

This table compares Clover Leaf Capital and Rush Street Interactive’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Clover Leaf Capital	N/A	N/A	-9.57%
Rush Street Interactive	-0.84%	-12.45%	-6.42%

Summary

Rush Street Interactive beats Clover Leaf Capital on 7 of the 12 factors compared between the two stocks.

About Clover Leaf Capital

Clover Leaf Capital Corp. does not have significant operations. The company focuses on effecting a merger, stock exchange, asset acquisition, stock purchase, reorganization, and other business combination with one or more businesses. It intends to acquire companies operating in the cannabis industry. The company was incorporated in 2021 and is based in Miami, Florida.

About Rush Street Interactive

Rush Street Interactive, Inc. operates as an online casino and sports betting company in the United States, Canada, Mexico, and rest of Latin America. It provides real-money online casino, online and retail sports betting, and social gaming services. In addition, the company offers full suite of games comprising of bricks-and-mortar casinos, table games, and slot machines. The company markets its online casino and sports betting under BetRivers, PlaySugarHouse, and RushBet brands. Rush Street Interactive, Inc. was founded in 2012 and is headquartered in Chicago, Illinois.