Financial Comparison: Paysign (NASDAQ:PAYS) and LiveWorld (OTCMKTS:LVWD)

Paysign (NASDAQ:PAYS) and LiveWorld (OTCMKTS:LVWD) are both small-cap business services companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, earnings, analyst recommendations, dividends, institutional ownership, valuation and risk.

Institutional & Insider Ownership

25.9% of Paysign shares are owned by institutional investors. 23.3% of Paysign shares are owned by company insiders. Comparatively, 16.3% of LiveWorld shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Paysign and LiveWorld’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paysign	14.28%	30.64%	4.82%
LiveWorld	-4.14%	-10.53%	-6.52%

Valuation & Earnings

This table compares Paysign and LiveWorld”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paysign	$56.47 million	2.71	$6.46 million	$0.15	19.07
LiveWorld	$11.46 million	0.62	$210,000.00	N/A	N/A

Paysign has higher revenue and earnings than LiveWorld.

Analyst Recommendations

This is a breakdown of current ratings for Paysign and LiveWorld, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paysign	0	0	4	0	3.00
LiveWorld	0	0	0	0	0.00

Paysign presently has a consensus target price of $6.13, indicating a potential upside of 114.16%. Given Paysign’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Paysign is more favorable than LiveWorld.

Volatility and Risk

Paysign has a beta of 0.93, meaning that its share price is 7% less volatile than the S&P 500. Comparatively, LiveWorld has a beta of 0.37, meaning that its share price is 63% less volatile than the S&P 500.

Summary

Paysign beats LiveWorld on 12 of the 12 factors compared between the two stocks.

About Paysign

Paysign, Inc. provides prepaid card programs, comprehensive patient affordability offerings, digital banking services, and integrated payment processing services for businesses, consumers, and government institutions. Its product offerings include solutions for corporate rewards, prepaid gift cards, general purpose reloadable debit cards, employee incentives, consumer rebates, donor compensation, clinical trials, healthcare reimbursement payments and pharmaceutical payment assistance, and demand deposit accounts accessible with a debit card. The company markets its prepaid card solutions under the Paysign brand. Its primary market focus is on companies and municipalities that require a streamlined payment solution for rewards, rebates, payment assistance, and other payments to their customers, employees, agents, and others. The company was formerly known as 3PEA International, Inc. and changed its name to Paysign, Inc. in April 2019. Paysign, Inc. was incorporated in 1995 and is headquartered in Henderson, Nevada.

About LiveWorld

LiveWorld, Inc., a digital agency and software company, provides social media and technology solutions for pharmaceuticals, healthcare, and financial-travel service industries. It offers consulting, strategy, and creative solutions with human agents for moderation, engagement, customer care, and adverse events management, as well as conversation management software, and chatbots for digital campaigns and social media programs. The company was formerly known as Talk City, Inc. and changed its name to Liveworld, Inc. in May 2001. Liveworld, Inc. was incorporated in 1996 and is headquartered in Campbell, California.