MJ (OTCMKTS:MJNE) vs. MultiPlan (NYSE:MPLN) Financial Comparison

MJ (OTCMKTS:MJNE) and MultiPlan (NYSE:MPLN) are both small-cap finance companies, but which is the better business? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, risk, profitability, valuation, dividends and earnings.

Volatility and Risk

MJ has a beta of 0.05, indicating that its stock price is 95% less volatile than the S&P 500. Comparatively, MultiPlan has a beta of 0.6, indicating that its stock price is 40% less volatile than the S&P 500.

Valuation & Earnings

This table compares MJ and MultiPlan’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MJ	$360,000.00	1.03	-$5.38 million	N/A	N/A
MultiPlan	$961.52 million	0.38	-$91.70 million	($0.15)	-3.75

MJ has higher earnings, but lower revenue than MultiPlan.

Profitability

This table compares MJ and MultiPlan’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MJ	N/A	-86.20%	-11.18%
MultiPlan	-9.54%	-8.31%	-2.05%

Institutional & Insider Ownership

87.2% of MultiPlan shares are owned by institutional investors. 35.9% of MJ shares are owned by company insiders. Comparatively, 8.2% of MultiPlan shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and recommmendations for MJ and MultiPlan, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MJ	0	0	0	0	N/A
MultiPlan	0	0	0	0	N/A

MultiPlan has a consensus target price of $2.00, suggesting a potential upside of 255.11%. Given MultiPlan’s higher possible upside, analysts plainly believe MultiPlan is more favorable than MJ.

Summary

MultiPlan beats MJ on 6 of the 10 factors compared between the two stocks.

About MJ

MJ Holdings, Inc., a cannabis holding company, engages in cultivation management, asset, and infrastructure development business in Nevada. It is also involved in production of cannabis related products; and provision of management services, dispensaries, and consulting services. The company is headquartered in Las Vegas, Nevada.

About MultiPlan

MultiPlan Corporation, together with its subsidiaries, provides data analytics and technology-enabled cost management, payment, and revenue integrity solutions to the healthcare industry in the United States. The company offers analytics-based services that reduce medical costs, through data-driven algorithms and insights that detect claims over-charges and negotiate or recommend reimbursement; and network-based services that provide contracted discounts with healthcare providers, as well as outsourced network development and management services. It provides payment and revenue integrity services, such as identifying and removing improper and unnecessary charges paid during the claim, as well as services to identify and help restore and preserve underpaid premium dollars. In addition, the company offers data and decision science services including a suite of solutions that apply modern methods of data science to produce descriptive, predictive, and prescriptive analytics that drive optimized benefit plan design, support decision-making, improve clinical outcomes, and reduce the total cost of care; and business-to-business healthcare payments and other services. It serves national and regional insurance companies, Blue Cross and Blue Shield plans, provider-sponsored and independent health plans, TPAs, self-insured health plans, property and casualty insurers, bill review companies, and other companies involved in the claim adjudication process. MultiPlan Corporation was founded in 1980 and is headquartered in New York, New York.