Financial Contrast: Confluent (NASDAQ:CFLT) vs. Tenet Fintech Group (OTCMKTS:PKKFF)

Tenet Fintech Group (OTCMKTS:PKKFF) and Confluent (NASDAQ:CFLT) are both business services companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, earnings, dividends, profitability, valuation, analyst recommendations and institutional ownership.

Risk and Volatility

Tenet Fintech Group has a beta of 1.4, indicating that its stock price is 40% more volatile than the S&P 500. Comparatively, Confluent has a beta of 0.88, indicating that its stock price is 12% less volatile than the S&P 500.

Insider and Institutional Ownership

0.3% of Tenet Fintech Group shares are held by institutional investors. Comparatively, 78.1% of Confluent shares are held by institutional investors. 13.8% of Confluent shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Tenet Fintech Group and Confluent’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tenet Fintech Group	-466.30%	-93.43%	-54.87%
Confluent	-42.70%	-37.78%	-12.81%

Analyst Ratings

This is a summary of current recommendations for Tenet Fintech Group and Confluent, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tenet Fintech Group	0	0	0	0	N/A
Confluent	1	7	21	1	2.73

Confluent has a consensus price target of $29.97, indicating a potential upside of 45.68%. Given Confluent’s higher possible upside, analysts plainly believe Confluent is more favorable than Tenet Fintech Group.

Earnings and Valuation

This table compares Tenet Fintech Group and Confluent”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tenet Fintech Group	$31.17 million	0.26	-$56.92 million	($0.48)	-0.12
Confluent	$865.59 million	7.55	-$442.75 million	($1.25)	-16.46

Tenet Fintech Group has higher earnings, but lower revenue than Confluent. Confluent is trading at a lower price-to-earnings ratio than Tenet Fintech Group, indicating that it is currently the more affordable of the two stocks.

Summary

Confluent beats Tenet Fintech Group on 10 of the 14 factors compared between the two stocks.

About Tenet Fintech Group

Tenet Fintech Group Inc., through its subsidiaries, provides various analytics and AI-based services to small-and-medium businesses and financial institutions. It offers Business Hub, a global ecosystem where analytics and AI are used to create opportunities and facilitate B2B transactions among its members. The company was formerly known as Peak Fintech Group Inc. and changed its name to Tenet Fintech Group Inc. in November 2021. Tenet Fintech Group Inc. was incorporated in 2008 and is headquartered in Toronto, Canada.

About Confluent

Confluent, Inc. operates a data streaming platform in the United States and internationally. The company provides platforms that allow customers to connect their applications, systems, and data layers, such as Confluent Cloud, a managed cloud-native software-as-a-service; and Confluent Platform, an enterprise-grade self-managed software. It offers connectors for existing applications, and IT and cloud infrastructure; Apache Flink services that allows teams to create reusable data streams that can be delivered real-time; ksqlDB, a data-in-motion database that allows users to build data-in-motion applications using a few SQL statements; stream governance, a managed data governance suite that is designed for the intricacies of streaming data, which allows teams to accelerate data streaming initiatives without bypassing controls for risk management and regulatory compliance; and stream designer which builds streaming data pipelines visually. In addition, the company offers professional services comprising packaged and residency offerings; education offerings consisting of instructor-led and self-paced training and certification guidance, technical resources, and access to hands-on training and certification exams; and certification programs. It serves banking and financial services industries, as well as retail and e-commerce, manufacturing, automotive, communication service providers, gaming, public sector, insurance, and technology industries. The company was formerly known as Infinitem, Inc. and changed its name to Confluent, Inc. in September 2014. Confluent, Inc. was incorporated in 2014 and is headquartered in Mountain View, California.