Comparing Yiren Digital (NYSE:YRD) and Mercurity Fintech (NASDAQ:MFH)

Mercurity Fintech (NASDAQ:MFH) and Yiren Digital (NYSE:YRD) 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 risk, dividends, profitability, earnings, valuation, institutional ownership and analyst recommendations.

Institutional & Insider Ownership

30.8% of Mercurity Fintech shares are owned by institutional investors. Comparatively, 2.0% of Yiren Digital shares are owned by institutional investors. 62.8% of Mercurity Fintech shares are owned by insiders. Comparatively, 42.2% of Yiren Digital shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Mercurity Fintech and Yiren Digital’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mercurity Fintech	$445,928.00	196.24	-$9.36 million	N/A	N/A
Yiren Digital	$689.53 million	0.56	$292.99 million	$3.33	1.32

Yiren Digital has higher revenue and earnings than Mercurity Fintech.

Profitability

This table compares Mercurity Fintech and Yiren Digital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mercurity Fintech	N/A	N/A	N/A
Yiren Digital	40.47%	27.42%	21.39%

Risk and Volatility

Mercurity Fintech has a beta of 1.96, suggesting that its stock price is 96% more volatile than the S&P 500. Comparatively, Yiren Digital has a beta of 0.72, suggesting that its stock price is 28% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for Mercurity Fintech and Yiren Digital, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mercurity Fintech	0	0	0	0	N/A
Yiren Digital	0	0	0	0	N/A

Summary

Yiren Digital beats Mercurity Fintech on 5 of the 9 factors compared between the two stocks.

About Mercurity Fintech

Mercurity Fintech Holding Inc. operates as a fintech company powered by blockchain. The company provides digital asset trading infrastructure solutions based on internet and blockchain technologies for cryptocurrency traders; and asset digitalization platform, which offers blockchain-based digitalization solutions for traditional assets, such as fiat currencies, bonds, and precious metals. It also offers cryptocurrency mining services that provides computing power to the mining pool; and digital consultation services, such as digital payment solutions, asset management, and online and traditional brokerage services. The company was formerly known as JMU Limited and changed its name to Mercurity Fintech Holding Inc. in April 2020. Mercurity Fintech Holding Inc. was incorporated in 2011 and is headquartered in New York, New York.

About Yiren Digital

Yiren Digital Ltd. provides financial services through an AI-powered platform in China. Its platform provides a suite of financial and lifestyle services. The company offers financial services, which provides a portfolio of loan products to borrowers; insurance brokerage services; and consumption and lifestyle services, including non-financial products and services to meet various consumer needs. It supports clients at various growth stages, addressing financing needs arising from consumption and production activities, and augmenting the well-being and security of individuals, families, and businesses. The company was formerly known as Yirendai Ltd. and changed its name to Yiren Digital Ltd. in September 2019. Yiren Digital Ltd. was founded in 2012 and is based in Beijing, the People's Republic of China. Yiren Digital Ltd. operates as a subsidiary of CreditEase Holdings (Cayman) Limited.