Reddit (NYSE:RDDT) versus MSP Recovery (NASDAQ:LIFW) Critical Contrast

Reddit (NYSE:RDDT) and MSP Recovery (NASDAQ:LIFW) are both computer and technology companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, earnings, risk, analyst recommendations, valuation and dividends.

Analyst Recommendations

This is a summary of current recommendations and price targets for Reddit and MSP Recovery, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Reddit	1	7	7	1	2.50
MSP Recovery	0	0	0	0	N/A

Profitability

This table compares Reddit and MSP Recovery’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Reddit	N/A	N/A	N/A
MSP Recovery	-724.07%	-3.70%	-1.76%

Earnings & Valuation

This table compares Reddit and MSP Recovery’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Reddit	$804.03 million	12.20	-$90.82 million	N/A	N/A
MSP Recovery	$7.70 million	7.26	-$56.35 million	($6.26)	-0.06

MSP Recovery has lower revenue, but higher earnings than Reddit.

Institutional and Insider Ownership

3.8% of MSP Recovery shares are held by institutional investors. 19.4% of MSP Recovery shares are held by company 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

Reddit beats MSP Recovery on 7 of the 10 factors compared between the two stocks.

About Reddit

Reddit, Inc. operates a website that organizes digital communities. It organizes communities based on specific interests that enable users to engage in conversations by sharing experiences, submitting links, uploading images and videos, and replying to one another. The company was founded in 2005 and is headquartered in San Francisco, California.

About MSP Recovery

MSP Recovery, Inc., doing business as LifeWallet, operates as a healthcare recovery and data analytics company in the United States and Puerto Rico. The company offers claims recovery services, including services to related parties or third parties to assist entities with pursuit of claims recovery rights. It also provides LifeWallet, a scalable and expandable data ecosystem where tokenized data is stored in a platform with multiple applications, including LifeWallet EHR for hospitals, medical providers, major medical laboratories, and governmental entities that gather and store electronic health records; Chase to Pay, a real-time, or near real-time analytics driven platform that identifies the proper primary payer at the point of care; LifeChain which is in development in order to tokenize healthcare claims and patient records using blockchain technology; LifeWallet 911 which is in development for utilization by emergency service organizations; LifeWallet Legal; LifeWallet Health; and LifeWallet Sports which connected brands with college athletes. MSP Recovery, Inc. was founded in 2014 and is headquartered in Coral Gables, Florida.