Analyzing GameSquare (NASDAQ:GAME) & UbiSoft Entertainment (OTCMKTS:UBSFY)

UbiSoft Entertainment (OTCMKTS:UBSFY) and GameSquare (NASDAQ:GAME) are both small-cap consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, profitability, risk, valuation, earnings, institutional ownership and dividends.

Profitability

This table compares UbiSoft Entertainment and GameSquare’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
UbiSoft Entertainment	N/A	N/A	N/A
GameSquare	-49.30%	-168.15%	-48.86%

Institutional & Insider Ownership

0.1% of UbiSoft Entertainment shares are owned by institutional investors. Comparatively, 64.3% of GameSquare shares are owned by institutional investors. 5.1% of GameSquare shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares UbiSoft Entertainment and GameSquare”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
UbiSoft Entertainment	$2.04 billion	0.45	-$170.71 million	N/A	N/A
GameSquare	$96.20 million	0.48	-$48.75 million	($1.04)	-0.45

GameSquare has lower revenue, but higher earnings than UbiSoft Entertainment.

Risk & Volatility

UbiSoft Entertainment has a beta of -0.15, suggesting that its share price is 115% less volatile than the S&P 500. Comparatively, GameSquare has a beta of 0.77, suggesting that its share price is 23% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and recommmendations for UbiSoft Entertainment and GameSquare, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
UbiSoft Entertainment	1	0	0	1	2.50
GameSquare	1	0	0	0	1.00

Summary

UbiSoft Entertainment beats GameSquare on 6 of the 11 factors compared between the two stocks.

About UbiSoft Entertainment

Ubisoft Entertainment SA produce, publishes, and distributes video games for consoles, PC, smartphones, and tablets in both physical and digital formats in Europe, North America, and internationally. The company designs and develops software, including scenarios, animation, gameplay, layouts, and game rules, as well as develops design tools and game engines. It is involved in the development in the area of online and mobile gaming; and film business. Ubisoft Entertainment SA was incorporated in 1986 and is headquartered in Saint-Mandé, France.

About GameSquare

GameSquare Holdings, Inc. operates as a vertically integrated digital media, entertainment, and technology company. Its platform to connect with gaming and youth culture audiences. The company’s end-to-end platform includes Code Red Esports Ltd., an esports talent agency; GCN, a digital media company focusing on the gaming and esports audience; Zoned, a gaming and lifestyle marketing agency; Complexity Gaming, a esports organization operating; Fourth Frame Studios, a creative production studio; and Mission Supply, a merchandise and consumer products business; Frankly Media, programmatic advertising, Stream Hatchet, live streaming analytics, and Sideqik a social influencer marketing platform. The company also engages in providing marketing and creative services, offering leading data and analytics solutions. The company was formerly known as Engine Gaming & Media, Inc. GameSquare Holdings, Inc. is headquartered in Frisco, Texas.