Reviewing Super Group (SGHC) (NYSE:SGHC) and Corsair Gaming (NASDAQ:CRSR)

Super Group (SGHC) (NYSE:SGHC) and Corsair Gaming (NASDAQ:CRSR) are both consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, earnings, profitability, analyst recommendations, risk, institutional ownership and dividends.

Earnings and Valuation

This table compares Super Group (SGHC) and Corsair Gaming”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Super Group (SGHC)	$1.84 billion	2.46	$122.38 million	$0.43	20.85
Corsair Gaming	$1.47 billion	0.49	-$99.18 million	($0.13)	-52.27

Super Group (SGHC) has higher revenue and earnings than Corsair Gaming. Corsair Gaming is trading at a lower price-to-earnings ratio than Super Group (SGHC), indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Super Group (SGHC) and Corsair Gaming, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Super Group (SGHC)	0	1	7	2	3.10
Corsair Gaming	1	3	4	1	2.56

Super Group (SGHC) currently has a consensus price target of $16.78, suggesting a potential upside of 87.15%. Corsair Gaming has a consensus price target of $7.69, suggesting a potential upside of 13.13%. Given Super Group (SGHC)’s stronger consensus rating and higher probable upside, equities analysts plainly believe Super Group (SGHC) is more favorable than Corsair Gaming.

Profitability

This table compares Super Group (SGHC) and Corsair Gaming’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Super Group (SGHC)	10.05%	43.14%	25.20%
Corsair Gaming	-0.87%	6.79%	3.36%

Insider and Institutional Ownership

5.1% of Super Group (SGHC) shares are owned by institutional investors. Comparatively, 25.7% of Corsair Gaming shares are owned by institutional investors. 10.4% of Super Group (SGHC) shares are owned by company insiders. Comparatively, 58.4% of Corsair Gaming shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Volatility & Risk

Super Group (SGHC) has a beta of 1.08, meaning that its share price is 8% more volatile than the S&P 500. Comparatively, Corsair Gaming has a beta of 1.55, meaning that its share price is 55% more volatile than the S&P 500.

Summary

Super Group (SGHC) beats Corsair Gaming on 12 of the 15 factors compared between the two stocks.

About Super Group (SGHC)

Super Group (SGHC) Limited operates as an online sports betting and gaming operator. It offers Betway, an online sports betting brand; and Spin, a multi-brand online casino offering. Super Group (SGHC) Limited is based in Saint Peter Port, Guernsey.

About Corsair Gaming

Corsair Gaming, Inc., together with its subsidiaries, designs, develops, markets, and sells gaming and streaming peripherals, components and systems in the Americas, Europe, the Middle East, and the Asia Pacific. It offers gamer and creator peripherals, including gaming keyboards, mice, headsets, controllers, and streaming products, such as capture cards, stream decks, microphones and audio interfaces, facecam streaming cameras, studio accessories, gaming furniture, and other related products. The company also provides gaming components and systems comprising power supply units, cooling solutions, computer cases, and DRAM modules, as well as prebuilt and custom-built gaming PCs and laptops, gaming monitors, and others; and PC gaming software comprising iCUE for gamers and Elgato streaming suite for content creators, as well as digital services. It sells its products through e-retail, retail, and direct-to-consumer channels and distributors. Corsair Gaming, Inc. was formerly known as Corsair Components (Cayman) Ltd and changed its name to Corsair Gaming, Inc in August 2017. The company was incorporated in 1994 and is headquartered in Milpitas, California.