Critical Comparison: DeNA (OTCMKTS:DNACF) & JFE (OTCMKTS:JFEEF)

JFE (OTCMKTS:JFEEF) and DeNA (OTCMKTS:DNACF) are both basic materials companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, analyst recommendations, dividends, institutional ownership, profitability and earnings.

Analyst Ratings

This is a breakdown of current recommendations for JFE and DeNA, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
JFE	0	0	0	0	N/A
DeNA	0	0	0	0	N/A

Profitability

This table compares JFE and DeNA’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
JFE	3.83%	8.14%	3.48%
DeNA	-20.18%	-11.87%	-8.16%

Earnings and Valuation

This table compares JFE and DeNA’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
JFE	$35.84 billion	N/A	$1.37 billion	$2.20	6.48
DeNA	$947.10 million	N/A	-$197.91 million	($1.73)	-5.34

JFE has higher revenue and earnings than DeNA. DeNA is trading at a lower price-to-earnings ratio than JFE, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

JFE has a beta of 0.85, suggesting that its share price is 15% less volatile than the S&P 500. Comparatively, DeNA has a beta of 0.63, suggesting that its share price is 37% less volatile than the S&P 500.

Summary

JFE beats DeNA on 8 of the 8 factors compared between the two stocks.

About JFE

JFE Holdings, Inc., through its subsidiaries, engages in steel, engineering, and trading businesses in Japan and internationally. Its Steel segment produces and sells various steel products, processed steel products, and raw materials, as well as operates in the transportation, facility maintenance, and construction businesses. The company's Engineering segment handles the engineering of energy, urban environment, steel structures and industrial machinery, recycling, and electricity retailing projects. Its Trading segment purchases, processes, and distributes steel products, raw materials for steel production, nonferrous metal products, food, etc. JFE Holdings, Inc. was incorporated in 2002 and is headquartered in Tokyo, Japan.

About DeNA

DeNA Co., Ltd. develops and operates mobile and online services worldwide. It operates Mobage, an entertainment platform; Yahoo! Mobage, which offers social games for PC browsers; AndApp, a platform that allows users to play mobile game apps on PC browsers under the same user account; Pococha, a social live streaming community; and IRIAM, an app which allows to livestream as an anime character. The company also operates SHOWROOM, a virtual stage where fans can watch their artists perform live while interacting with them in real time; MYCODE, a direct-to-consumer genetic testing service; kencom, which supports health insurance societies to manage their members' health data; Haretoke, a web service which provides daily support for millennial women; Caradamo that offers diet support; and ONSEI, an app that uses AI to check for changes in cognitive function. In addition, it operates MENKYO, which enables cognitive function test for elderly drivers seeking license renewal; SHINRI-ADAS, a cognitive functional test; MRI-TAISEKI, a system that analyses brain DICOM images; Join, a communication app for medical professionals; MySOS, a life-saving and health support app with health and medical record for the user and their family; and DENA SPORTS GROUP, Yokohama DeNA Baystars, Kawasaki Brave Thunders, S.C.SAGAMIHARA, and DeNA Athletics Elite sports teams. Further, the company operates Mobaoku, which allows users to manage their auction items and bids from mobile phones; Anyca, a mobile app for peer-to-peer car sharing; SOMPO DE NORU, a car leasing service; GO, a taxi dispatch app; DRIVE CHART, an accident reduction support service; anone, a c ommunication service for seniors; dot-i, a security system; Coopel, a cloud robotic process automation service; PLAYBACK 9, a NFT service; Easy Ride, a robo-vehicle mobility service; Manga Box, a weekly manga magazine app; PICKFIVE, a NFT card game; and NFT collections. The company was incorporated in 1999 and is based in Tokyo, Japan.