Head-To-Head Analysis: Esports Entertainment Group (NASDAQ:GMBL) versus Cedar Fair (NYSE:FUN)

Esports Entertainment Group (NASDAQ:GMBL) and Cedar Fair (NYSE:FUN) are both consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, analyst recommendations, risk, valuation, institutional ownership and earnings.

Profitability

This table compares Esports Entertainment Group and Cedar Fair’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Esports Entertainment Group	-260.75%	N/A	-192.97%
Cedar Fair	0.99%	113.05%	2.41%

Analyst Recommendations

This is a breakdown of recent recommendations for Esports Entertainment Group and Cedar Fair, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Esports Entertainment Group	0	0	0	0	0.00
Cedar Fair	1	1	11	0	2.77

Cedar Fair has a consensus price target of $55.85, suggesting a potential upside of 15.72%. Given Cedar Fair’s stronger consensus rating and higher possible upside, analysts clearly believe Cedar Fair is more favorable than Esports Entertainment Group.

Volatility & Risk

Esports Entertainment Group has a beta of 1.2, suggesting that its share price is 20% more volatile than the S&P 500. Comparatively, Cedar Fair has a beta of 1.55, suggesting that its share price is 55% more volatile than the S&P 500.

Valuation & Earnings

This table compares Esports Entertainment Group and Cedar Fair”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Esports Entertainment Group	$16.05 million	0.01	-$32.28 million	N/A	N/A
Cedar Fair	$1.82 billion	2.67	$124.56 million	($0.64)	-75.41

Cedar Fair has higher revenue and earnings than Esports Entertainment Group.

Insider & Institutional Ownership

51.4% of Esports Entertainment Group shares are owned by institutional investors. Comparatively, 64.7% of Cedar Fair shares are owned by institutional investors. 14.0% of Esports Entertainment Group shares are owned by insiders. Comparatively, 1.8% of Cedar Fair shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Cedar Fair beats Esports Entertainment Group on 11 of the 12 factors compared between the two stocks.

About Esports Entertainment Group

Esports Entertainment Group, Inc. operates as an iGaming and entertainment company in the United States and internationally. It operates through two segments, EEG iGaming and EEG Games. The EEG iGaming segment operates iDefix, a casino platform. The EEG Games segment operates ggCircuit, a local area network center management software and services for managing mission critical functions, such as game licensing and payments; and creates esports content for distribution to the betting industry. The company was formerly known as VGambling, Inc. and changed its name to Esports Entertainment Group, Inc. in May 2017. Esports Entertainment Group, Inc. is based in St. Julian's, Malta.

About Cedar Fair

Cedar Fair, L.P. owns and operates amusement and water parks, as well as complementary resort facilities. Its amusement parks include Cedar Point located on Lake Erie between Cleveland and Toledo in Sandusky, Ohio; Knott's Berry Farm near Los Angeles, California; Canada's Wonderland near Toronto, Ontario; Kings Island near Cincinnati, Ohio; Carowinds in Charlotte, North Carolina; Kings Dominion situated near Richmond, Virginia; California's Great America located in Santa Clara, California; Dorney Park in Pennsylvania; Worlds of Fun located in Kansas City, Missouri; Valleyfair situated near Minneapolis/St. Paul, Minnesota; Michigan's Adventure situated near Muskegon, Michigan; Schlitterbahn Waterpark & Resort New Braunfels in New Braunfels, Texas; and Schlitterbahn Waterpark Galveston in Galveston, Texas. The company also owns and operates the Castaway Bay Indoor Waterpark Resort, Hotel Breakers, Cedar Point's Express Hotel, and Sawmill Creek Resort. Cedar Fair, L.P. was founded in 1983 and is based in Sandusky, Ohio.