Head-To-Head Contrast: Crescent Capital BDC (NASDAQ:CCAP) & Mogo (NASDAQ:MOGO)

Mogo (NASDAQ:MOGO) and Crescent Capital BDC (NASDAQ:CCAP) are both small-cap business services companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, profitability, earnings, institutional ownership, risk, analyst recommendations and valuation.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Mogo and Crescent Capital BDC, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mogo	0	0	1	0	3.00
Crescent Capital BDC	0	1	5	0	2.83

Mogo presently has a consensus price target of $6.00, suggesting a potential upside of 347.76%. Crescent Capital BDC has a consensus price target of $19.17, suggesting a potential upside of 1.84%. Given Mogo’s stronger consensus rating and higher probable upside, research analysts clearly believe Mogo is more favorable than Crescent Capital BDC.

Institutional and Insider Ownership

14.8% of Mogo shares are owned by institutional investors. Comparatively, 49.5% of Crescent Capital BDC shares are owned by institutional investors. 12.3% of Mogo shares are owned by company insiders. Comparatively, 1.0% of Crescent Capital BDC shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Mogo and Crescent Capital BDC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mogo	-22.05%	-15.34%	-6.49%
Crescent Capital BDC	47.06%	12.20%	5.57%

Valuation and Earnings

This table compares Mogo and Crescent Capital BDC”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mogo	$70.32 million	0.47	-$13.25 million	($0.47)	-2.85
Crescent Capital BDC	$104.15 million	6.70	$83.84 million	$2.55	7.38

Crescent Capital BDC has higher revenue and earnings than Mogo. Mogo is trading at a lower price-to-earnings ratio than Crescent Capital BDC, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Mogo has a beta of 2.96, suggesting that its share price is 196% more volatile than the S&P 500. Comparatively, Crescent Capital BDC has a beta of 0.81, suggesting that its share price is 19% less volatile than the S&P 500.

Summary

Crescent Capital BDC beats Mogo on 10 of the 14 factors compared between the two stocks.

About Mogo

Mogo Inc. operates as a digital finance company in Canada, Europe, and internationally. The company's digital solutions help build wealth and achieve financial freedom. It provides MogoTrade, a stock trading app; Moka; and MogoMoney that provides online personal loans. The company also offers digital loans and mortgages; and operates a digital payments platform that powers next-generation card programs for both global corporations and fintech companies in Europe and Canada. Mogo Inc. is headquartered in Vancouver, Canada.

About Crescent Capital BDC

Crescent Capital BDC, Inc. is as a business development company private equity / buyouts and loan fund. It specializes in directly investing. It specializes in middle market. The fund seeks to invest in United States.