Comparing Next Technology (NASDAQ:NXTT) & Lightspeed Commerce (NYSE:LSPD)

Next Technology (NASDAQ:NXTT) and Lightspeed Commerce (NYSE:LSPD) are both small-cap computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, profitability, risk, institutional ownership, analyst recommendations and dividends.

Earnings & Valuation

This table compares Next Technology and Lightspeed Commerce”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Next Technology	$1.80 million	4.88	$21.55 million	$45.14	0.07
Lightspeed Commerce	$1.08 billion	1.20	-$667.20 million	($4.62)	-2.04

Next Technology has higher earnings, but lower revenue than Lightspeed Commerce. Lightspeed Commerce is trading at a lower price-to-earnings ratio than Next Technology, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Next Technology has a beta of 7.19, suggesting that its stock price is 619% more volatile than the S&P 500. Comparatively, Lightspeed Commerce has a beta of 2.08, suggesting that its stock price is 108% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings for Next Technology and Lightspeed Commerce, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Next Technology	1	0	0	0	1.00
Lightspeed Commerce	2	11	5	0	2.17

Lightspeed Commerce has a consensus price target of $13.33, indicating a potential upside of 41.47%. Given Lightspeed Commerce’s stronger consensus rating and higher probable upside, analysts plainly believe Lightspeed Commerce is more favorable than Next Technology.

Institutional & Insider Ownership

2.7% of Next Technology shares are owned by institutional investors. Comparatively, 68.7% of Lightspeed Commerce shares are owned by institutional investors. 52.2% of Next Technology shares are owned 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 Next Technology and Lightspeed Commerce’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Next Technology	N/A	26.93%	23.05%
Lightspeed Commerce	-58.15%	0.37%	0.34%

Summary

Next Technology beats Lightspeed Commerce on 9 of the 14 factors compared between the two stocks.

About Next Technology

Next Technology Holding Inc. provides technical services and solutions through its social e-commerce platform primarily in Mainland China. It offers YCloud, a micro-business cloud intelligent internationalization system that conducts multi-channel data analysis through the learning of big data and social recommendation relationships, as well as provides users with AI fission and management systems, and supply chain systems. The company’s YCloud system also provides micro-business owners with various payment methods, such as Alipay, WeChat, and UnionPay. In addition, it offers chatGPT technical services; and technical system support, software development, and services. The company serves individual and corporate users in the micro business industry. It also has operations in Hong Kong and Singapore. The company was formerly known as WeTrade Group, Inc. and changed its name to Next Technology Holding Inc in April 2024. Next Technology Holding Inc. was incorporated in 2019 and is headquartered in Beijing, the People Republic of China.

About Lightspeed Commerce

Lightspeed Commerce Inc. engages in sale of cloud-based software subscriptions and payments solutions for small and midsize businesses, retailers, restaurants, and golf course operators in North America, Europe, the United Kingdom, Australia, New Zealand, and internationally. Its Software as a Service platform enables customers to engage with consumers, manage operations, accept payments, etc. The company's cloud platforms are designed interrelated elements, such as omni-channel consumer experience, a comprehensive back-office operations management suite to improve customers' efficiency and insight, and the facilitation of payments. Its platform functionalities include full omni-channel capabilities, point of sale (POS), product and menu management, employee and inventory management, analytics and reporting, multi-location connectivity, order-ahead and curbside pickup functionality, loyalty, and customer management solutions. The company also offers tailored financial solutions, such as Lightspeed Retail, Lightspeed eCommerce, Lightspeed Restaurant, and Lightspeed B2B solutions. In addition, it sells hardware, including tablets, customer facing displays, receipt printers, networking hardware, cash drawers, payment terminals, servers, stands, bar-code scanners, and an assortment of accessories, as well as provides installation and implementation services. The company was formerly known as Lightspeed POS Inc. and changed its name to Lightspeed Commerce Inc. in August 2021. Lightspeed Commerce Inc. was incorporated in 2005 and is headquartered in Montreal, Canada.