Head to Head Contrast: Conduent (NASDAQ:CNDT) & Generation Hemp (OTCMKTS:GENH)

Conduent (NASDAQ:CNDT) and Generation Hemp (OTCMKTS:GENH) are both small-cap business services companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, profitability, risk, earnings, valuation and institutional ownership.

Volatility and Risk

Conduent has a beta of 1.53, meaning that its stock price is 53% more volatile than the S&P 500. Comparatively, Generation Hemp has a beta of -0.38, meaning that its stock price is 138% less volatile than the S&P 500.

Profitability

This table compares Conduent and Generation Hemp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Conduent	-5.13%	-2.50%	-0.56%
Generation Hemp	-674.14%	-15,656.36%	-195.12%

Valuation and Earnings

This table compares Conduent and Generation Hemp’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Conduent	$3.72 billion	0.17	-$296.00 million	($0.90)	-3.41
Generation Hemp	$680,000.00	36.83	-$9.82 million	N/A	N/A

Generation Hemp has lower revenue, but higher earnings than Conduent.

Analyst Ratings

This is a summary of recent ratings for Conduent and Generation Hemp, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Conduent	0	0	1	0	3.00
Generation Hemp	0	0	0	0	N/A

Conduent currently has a consensus price target of $9.00, suggesting a potential upside of 193.16%. Given Conduent’s higher possible upside, equities analysts clearly believe Conduent is more favorable than Generation Hemp.

Insider and Institutional Ownership

77.3% of Conduent shares are owned by institutional investors. 1.8% of Conduent shares are owned by company insiders. Comparatively, 60.9% of Generation Hemp shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Conduent beats Generation Hemp on 8 of the 11 factors compared between the two stocks.

About Conduent

Conduent Incorporated provides digital business solutions and services for the commercial, government, and transportation spectrum in the United States, Europe, and internationally. It operates through three segments: Commercial, Government Services, and Transportation. The Commercial segment offers business process services and customized solutions to clients in various industries; and customer experience management, business operations, healthcare claims and administration, and human capital solutions. The Government segment provides government-centric business process services to the United States federal, state, local, and foreign governments for public assistance, program administration, transaction processing, and payment services; and digital payments, child support payments, government healthcare, and eligibility and enrollment solutions. The Transportation segment offers systems, support, and revenue-generating solutions to government transportation agency clients; and public safety, mobility, and digital payment solutions. This segment also provides electronic tolling, urban congestion management, and mileage-based user solutions; transit solutions; citation and permit administration, parking enforcement, and curbside demand management solutions; and computer-aided dispatch/automatic vehicle location solutions. Conduent Incorporated was founded in 2016 and is headquartered in Florham Park, New Jersey.

About Generation Hemp

Evergreen Sustainable Enterprises, Inc. operates as a hemp company. It engages in leases warehouse space to hemp seed growers. The company was founded on July 28, 2008 and is headquartered in Dallas, TX.