Critical Comparison: Resonate Blends (OTCMKTS:KOAN) and Elastic (NYSE:ESTC)

Resonate Blends (OTCMKTS:KOAN) and Elastic (NYSE:ESTC) are both medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, earnings, analyst recommendations, valuation and risk.

Analyst Recommendations

This is a summary of recent recommendations for Resonate Blends and Elastic, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Resonate Blends	0	0	0	0	N/A
Elastic	0	8	16	0	2.67

Elastic has a consensus target price of $103.71, indicating a potential upside of 30.25%. Given Elastic’s higher possible upside, analysts clearly believe Elastic is more favorable than Resonate Blends.

Risk and Volatility

Resonate Blends has a beta of 2.86, indicating that its stock price is 186% more volatile than the S&P 500. Comparatively, Elastic has a beta of 0.94, indicating that its stock price is 6% less volatile than the S&P 500.

Institutional and Insider Ownership

7.4% of Resonate Blends shares are held by institutional investors. Comparatively, 97.0% of Elastic shares are held by institutional investors. 50.0% of Resonate Blends shares are held by insiders. Comparatively, 15.9% of Elastic shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Resonate Blends and Elastic’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Resonate Blends	N/A	N/A	-84.37%
Elastic	4.62%	-17.54%	-5.69%

Earnings and Valuation

This table compares Resonate Blends and Elastic”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Resonate Blends	$20,000.00	28.11	-$1.42 million	($0.05)	-0.11
Elastic	$1.27 billion	6.46	$61.72 million	$0.55	144.78

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

Summary

Elastic beats Resonate Blends on 9 of the 13 factors compared between the two stocks.

About Resonate Blends

Resonate Blends, Inc., a cannabis holding company, provides cannabis wellness lifestyle products. The company offers Calm to quiet the mind and ease into a gentle sense of wellbeing; Wonder, a THC offering to bring back the youthful sense; Love to reduce barriers to intimacy, stimulate personal connections, and increase tactile sensation; Create to stimulate senses, spark imagination, and channel inner muse; Play to become fully immersed in the moment and the people around; Delight to open up senses; and Sleep for helping to fall asleep. The company was formerly known as Textmunication Holdings, Inc. and changed its name to Resonate Blends, Inc. in December 2019. Resonate Blends, Inc. is based in Calabasas, California.

About Elastic

Elastic N.V., a data analytics company, delivers solutions designed to run in public or private clouds in multi-cloud environments. It primarily offers Elastic Stack, a set of software products that ingest and store data from various sources and formats, as well as performs search, analysis, and visualization on that data. The company's Elastic Stack product portfolio comprises Elasticsearch, a distributed, real-time search and analytics engine, and data store for various types of data, including textual, numerical, geospatial, structured, and unstructured; Kibana, a user interface, management, and configuration interface for the Elastic Stack; Elastic Agent that offers integrated host protection and central management services; Beats, a single-purpose data shippers for sending data from edge machines to Elasticsearch or Logstash; and Logstash, a data processing pipeline for ingesting data into Elasticsearch or other storage systems from a multitude of sources simultaneously. It also provides software solutions on the Elastic Stack that address cases, including search applications, workplace search, logs, metrics, application performance monitoring, synthetic monitoring, security information and event management (SIEM), endpoint security, extended detection and response, and cloud security. The company was incorporated in 2012 and is based in Amsterdam, the Netherlands.