Critical Comparison: MOGU (NYSE:MOGU) & Remitly Global (NASDAQ:RELY)

Remitly Global (NASDAQ:RELY) and MOGU (NYSE:MOGU) are both business services companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, valuation, analyst recommendations, earnings, profitability, institutional ownership and dividends.

Valuation & Earnings

This table compares Remitly Global and MOGU”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Remitly Global	$1.26 billion	3.24	-$117.84 million	($0.19)	-107.32
MOGU	$138.90 million	0.12	-$8.21 million	N/A	N/A

MOGU has lower revenue, but higher earnings than Remitly Global.

Analyst Recommendations

This is a summary of recent ratings and price targets for Remitly Global and MOGU, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Remitly Global	0	1	8	0	2.89
MOGU	0	0	0	0	0.00

Remitly Global presently has a consensus price target of $28.13, indicating a potential upside of 37.94%. Given Remitly Global’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Remitly Global is more favorable than MOGU.

Profitability

This table compares Remitly Global and MOGU’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Remitly Global	-2.93%	-6.10%	-3.69%
MOGU	N/A	N/A	N/A

Risk and Volatility

Remitly Global has a beta of 0.15, suggesting that its share price is 85% less volatile than the S&P 500. Comparatively, MOGU has a beta of 0.34, suggesting that its share price is 66% less volatile than the S&P 500.

Insider & Institutional Ownership

74.3% of Remitly Global shares are held by institutional investors. Comparatively, 19.1% of MOGU shares are held by institutional investors. 8.1% of Remitly Global shares are held by insiders. Comparatively, 19.8% of MOGU shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

About Remitly Global

Remitly Global, Inc. provides digital financial services for immigrants and their families. It primarily offers cross-border remittance services in approximately 170 countries. The company was incorporated in 2011 and is headquartered in Seattle, Washington.

About MOGU

MOGU Inc., through its subsidiaries, engages in the online fashion and lifestyle business in the People's Republic of China. The company operates an online platform that primarily offers a range of fashion apparel and other products, including beauty products and accessories provided by third party merchants, as well as personal care, food, and medical beauty products. It also provides online marketing, commission, financing, technology, and other related services to merchants, brand partners/owners, and users; and technology services to insurance companies. The company offers its products through mobile apps, including flagship Mogujie app, mini programs on Weixin, and Weixin pay; websites comprising Mogu.com, Mogujie.com and Meilishuo.com. The company was formerly known as Meili Inc. and changed its name to MOGU Inc. in November 2018. The company was incorporated in 2011 and is headquartered in Hangzhou, the People's Republic of China.