Top KingWin (NASDAQ:WAI) vs. Canaan (NASDAQ:CAN) Head-To-Head Review

Canaan (NASDAQ:CAN) and Top KingWin (NASDAQ:WAI) are both small-cap finance companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, risk, profitability, earnings, analyst recommendations, institutional ownership and valuation.

Profitability

This table compares Canaan and Top KingWin’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Canaan	-51.66%	-71.85%	-38.09%
Top KingWin	N/A	N/A	N/A

Valuation & Earnings

This table compares Canaan and Top KingWin”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Canaan	$345.36 million	1.10	-$249.75 million	($0.68)	-1.49
Top KingWin	$5.82 million	0.83	-$8.15 million	N/A	N/A

Top KingWin has lower revenue, but higher earnings than Canaan.

Analyst Ratings

This is a summary of current ratings and price targets for Canaan and Top KingWin, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Canaan	1	3	6	0	2.50
Top KingWin	1	0	0	0	1.00

Canaan presently has a consensus target price of $3.68, suggesting a potential upside of 262.42%. Given Canaan’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Canaan is more favorable than Top KingWin.

Insider & Institutional Ownership

70.1% of Canaan shares are held by institutional investors. Comparatively, 53.4% of Top KingWin shares are held by institutional investors. 0.3% of Canaan shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Risk and Volatility

Canaan has a beta of 3.61, suggesting that its share price is 261% more volatile than the S&P 500. Comparatively, Top KingWin has a beta of 2.35, suggesting that its share price is 135% more volatile than the S&P 500.

Summary

Canaan beats Top KingWin on 8 of the 12 factors compared between the two stocks.

About Canaan

Canaan Inc. engages in the research, design, and sale of integrated circuit (IC) final mining equipment products by integrating IC products for bitcoin mining and related components in the People's Republic of China. It is also involved in the assembly and distribution of mining equipment and spare parts. The company has operations in the United States, Australia, Kazakhstan, Hong Kong, Canada, Mainland China, Thailand, Sweden, and internationally. Canaan Inc. was founded in 2013 and is based in Singapore.

About Top KingWin

Top KingWin Ltd is a provider of capital market related education and support services, as well as advisory and transaction services principally in China. Top KingWin Ltd is based in GUANGZHOU, China.