Head-To-Head Comparison: Usio (NASDAQ:USIO) versus RTB Digital, Inc. Common Stock (NASDAQ:RTB)

Usio (NASDAQ:USIO) and RTB Digital, Inc. Common Stock (NASDAQ:RTB) are both small-cap business services companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, valuation, risk, analyst recommendations, earnings, dividends and profitability.

Risk & Volatility

Usio has a beta of 1.4, indicating that its stock price is 40% more volatile than the S&P 500. Comparatively, RTB Digital, Inc. Common Stock has a beta of 2.61, indicating that its stock price is 161% more volatile than the S&P 500.

Institutional & Insider Ownership

20.2% of Usio shares are owned by institutional investors. Comparatively, 17.4% of RTB Digital, Inc. Common Stock shares are owned by institutional investors. 19.0% of Usio shares are owned by insiders. Comparatively, 12.4% of RTB Digital, Inc. Common Stock shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Usio and RTB Digital, Inc. Common Stock’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Usio	-2.43%	-11.73%	-1.86%
RTB Digital, Inc. Common Stock	-165.69%	N/A	-100.25%

Earnings and Valuation

This table compares Usio and RTB Digital, Inc. Common Stock”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Usio	$85.39 million	0.52	-$2.51 million	($0.08)	-20.13
RTB Digital, Inc. Common Stock	$11.13 million	0.50	-$17.53 million	($26.23)	-0.17

Usio has higher revenue and earnings than RTB Digital, Inc. Common Stock. Usio is trading at a lower price-to-earnings ratio than RTB Digital, Inc. Common Stock, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Usio and RTB Digital, Inc. Common Stock, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Usio	2	1	2	0	2.00
RTB Digital, Inc. Common Stock	1	1	0	0	1.50

Usio presently has a consensus target price of $5.13, indicating a potential upside of 218.32%. Given Usio’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Usio is more favorable than RTB Digital, Inc. Common Stock.

Summary

Usio beats RTB Digital, Inc. Common Stock on 11 of the 14 factors compared between the two stocks.

About Usio

Usio, Inc., together with its subsidiaries, provides integrated electronic payment processing services to merchants and businesses in the United States. The company offers various types of automated clearing house (ACH) processing; and credit, prepaid card, and debit card-based processing services. Its ACH transaction processing services include Represented Check and Check Conversion for electronic payment facilitation. In addition, the company offers merchant account services for the processing of card-based transactions through the VISA, MasterCard, American Express, Discover, and JCB networks, including online terminal services accessed through a website or retail services accessed through a physical terminal. Further, it provides a proprietary web-based customer service application that allows companies to process one-time and recurring payments through e-checks or credit cards; and an interactive voice response telephone system to companies, which accept payments directly from consumers over the telephone using e-checks or credit cards. Additionally, the company offers prepaid and incentive card issuance services; and operates a prepaid core processing platform, as well as provides additional services, such as electronic bill presentment, document composition, document decomposition, and printing and mailing services for various industry verticals, including utilities and financial institutions. It markets and sells ACH products and services primarily through resellers; and prepaid card program directly to government entities, corporations, and to consumers through the internet. The company was formerly known as Payment Data Systems, Inc. and changed its name to Usio, Inc. in June 2019. Usio, Inc. was incorporated in 1998 and is headquartered in San Antonio, Texas.

About RTB Digital, Inc. Common Stock

Ryvyl Inc., a technology company, engages in the development, marketing, and sale of blockchain-based payment solutions in North America, Europe, and Asia. The company's blockchain-based systems facilitate, record, and store a volume of tokenized assets representing cash or data on a blockchain-based ledger. Its products include QuickCard Payment System, a physical and virtual payment card processing management system, including software that facilitates on and off ramp e-wallet management; Coyni, a digital token platform, which offers custodial assurance by utilizing its stable coin and blockchain technology in a closed-loop ecosystem; and ChargeSavvy, an end-to-end POS solution comprising software and hardware for the restaurant and hospitality industry. It serves customers in various industries, including foreign exchange, retail, and e-commerce sectors. The company was formerly known as GreenBox POS and changed its name to Ryvyl Inc. in October 2022. Ryvyl Inc. is based in San Diego, California.