CV (OTCMKTS:CVHL) and Dynex Capital (NYSE:DX) Head to Head Review

CV (OTCMKTS:CVHL) and Dynex Capital (NYSE:DX) 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, earnings, analyst recommendations, valuation, profitability, dividends and risk.

Valuation & Earnings

This table compares CV and Dynex Capital”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CV	$23.58 million	0.04	-$15.96 million	N/A	N/A
Dynex Capital	$49.06 million	16.21	-$6.13 million	$1.17	10.59

Dynex Capital has higher revenue and earnings than CV.

Profitability

This table compares CV and Dynex Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CV	N/A	N/A	N/A
Dynex Capital	4.63%	-6.08%	-0.78%

Volatility and Risk

CV has a beta of 0.34, meaning that its stock price is 66% less volatile than the S&P 500. Comparatively, Dynex Capital has a beta of 1.33, meaning that its stock price is 33% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings for CV and Dynex Capital, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CV	0	0	0	0	N/A
Dynex Capital	0	2	4	0	2.67

Dynex Capital has a consensus price target of $13.35, suggesting a potential upside of 7.75%. Given Dynex Capital’s higher possible upside, analysts plainly believe Dynex Capital is more favorable than CV.

Insider & Institutional Ownership

38.3% of Dynex Capital shares are owned by institutional investors. 7.6% of CV shares are owned by insiders. Comparatively, 2.5% of Dynex Capital shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Dynex Capital beats CV on 8 of the 11 factors compared between the two stocks.

About CV

CV Holdings, Inc. operates as a specialty finance company. It owns finance platforms across various businesses, including small-ticket equipment financing and commercial real estate bridge lending. CV Holdings, Inc. was incorporated in 2005 and is based in Newport Beach, California.

About Dynex Capital

Dynex Capital, Inc., a mortgage real estate investment trust, invests in mortgage-backed securities (MBS) on a leveraged basis in the United States. It invests in agency and non-agency MBS consisting of residential MBS, commercial MBS (CMBS), and CMBS interest-only securities. Agency MBS have a guaranty of principal payment by an agency of the U.S. government or a U.S. government-sponsored entity, such as Fannie Mae and Freddie Mac. Non-Agency MBS have no such guaranty of payment. The company has qualified as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal income taxes if it distributes at least 90% of its taxable income to its stockholders as dividends. Dynex Capital, Inc. was incorporated in 1987 and is headquartered in Glen Allen, Virginia.