Financial Comparison: Oportun Financial (NASDAQ:OPRT) versus PROG (NYSE:PRG)

PROG (NYSE:PRG) and Oportun Financial (NASDAQ:OPRT) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, risk, valuation, analyst recommendations, earnings, dividends and profitability.

Insider & Institutional Ownership

97.9% of PROG shares are owned by institutional investors. Comparatively, 82.7% of Oportun Financial shares are owned by institutional investors. 3.7% of PROG shares are owned by company insiders. Comparatively, 1.6% of Oportun Financial shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of current recommendations and price targets for PROG and Oportun Financial, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PROG	0	3	6	1	2.80
Oportun Financial	1	2	2	0	2.20

PROG presently has a consensus target price of $49.44, suggesting a potential upside of 16.05%. Oportun Financial has a consensus target price of $7.33, suggesting a potential downside of 4.89%. Given PROG’s stronger consensus rating and higher probable upside, equities analysts plainly believe PROG is more favorable than Oportun Financial.

Volatility & Risk

PROG has a beta of 1.79, indicating that its stock price is 79% more volatile than the S&P 500. Comparatively, Oportun Financial has a beta of 1.22, indicating that its stock price is 22% more volatile than the S&P 500.

Valuation and Earnings

This table compares PROG and Oportun Financial”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PROG	$2.41 billion	0.70	$146.79 million	$3.62	11.77
Oportun Financial	$956.70 million	0.37	$25.25 million	$0.40	19.27

PROG has higher revenue and earnings than Oportun Financial. PROG is trading at a lower price-to-earnings ratio than Oportun Financial, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares PROG and Oportun Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PROG	5.57%	21.88%	9.15%
Oportun Financial	2.05%	13.41%	1.66%

Summary

PROG beats Oportun Financial on 14 of the 15 factors compared between the two stocks.

About PROG

PROG Holdings, Inc. (NYSE:PRG) is a financial technology holding company based in Salt Lake City, Utah with three business segments: Progressive Leasing, which offers lease-to-own transactions primarily to credit-challenged consumers through e-commerce and point-of-sale retail partners, via online, mobile, and in-store solutions; Vive Financial, which provides consumers who may not qualify for traditional prime lending with a variety of second-look, revolving credit products through private label and branded credit cards; and Four Technologies, which provides consumers of all credit backgrounds Buy Now, Pay Later (BNPL) options through four interest-free installments via its platform, Four.

About Oportun Financial

Oportun Financial Corporation provides financial services. The company offers personal loans and credit cards. It serves customers through online and over the phone, as well as through retail and Lending as a Service partner locations. The company was founded in 2005 and is headquartered in San Carlos, California.