Comparing Chime Financial (NASDAQ:CHYM) & FG Nexus (NASDAQ:FGNX)

FG Nexus (NASDAQ:FGNX) and Chime Financial (NASDAQ:CHYM) are both finance companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, earnings, dividends, institutional ownership, analyst recommendations, risk and profitability.

Earnings & Valuation

This table compares FG Nexus and Chime Financial”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FG Nexus	$2.41 million	15.27	-$66.74 million	($6.98)	-1.12
Chime Financial	$2.19 billion	4.62	-$1.01 billion	($0.07)	-381.29

FG Nexus has higher earnings, but lower revenue than Chime Financial. Chime Financial is trading at a lower price-to-earnings ratio than FG Nexus, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

FG Nexus has a beta of 1.09, suggesting that its share price is 9% more volatile than the S&P 500. Comparatively, Chime Financial has a beta of 0.6, suggesting that its share price is 40% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and target prices for FG Nexus and Chime Financial, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FG Nexus	1	1	3	0	2.40
Chime Financial	1	2	17	4	3.00

FG Nexus currently has a consensus target price of $35.00, suggesting a potential upside of 347.86%. Chime Financial has a consensus target price of $36.40, suggesting a potential upside of 36.38%. Given FG Nexus’ higher possible upside, equities analysts clearly believe FG Nexus is more favorable than Chime Financial.

Profitability

This table compares FG Nexus and Chime Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FG Nexus	-4,888.86%	-95.68%	-75.45%
Chime Financial	-0.74%	-1.28%	-0.92%

Institutional & Insider Ownership

3.1% of FG Nexus shares are held by institutional investors. 4.1% of FG Nexus shares are held by insiders. Comparatively, 12.3% of Chime Financial shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Chime Financial beats FG Nexus on 9 of the 15 factors compared between the two stocks.

About FG Nexus

FG Financial Group, Inc. operates as a reinsurance and investment management holding company in the United States. The company offers specialty property and casualty reinsurance products and services. It also operates a special purpose acquisition company platform (SPAC) that provides various strategic, administrative, and regulatory support services to newly formed SPACs for a monthly fee. The company was formerly known as 1347 Property Insurance Holdings, Inc. and changed its name to FG Financial Group, Inc. in December 2020. The company was incorporated in 2012 and is based in St. Petersburg, Florida.

About Chime Financial

Chime is a financial technology company that partners with federally regulated, FDIC-insured banks—The Bancorp Bank, N.A. and Stride Bank, N.A., Members FDIC—to provide consumer banking products and services. The company’s model is designed to eliminate common fees and simplify access to basic financial services.

Chime does not charge overdraft fees, monthly service fees, or require minimum balances. All account balances are held at partner banks and protected by applicable regulatory safeguards to ensure funds remain secure and accessible.