Sezzle (NASDAQ:SEZL) & ARTISTdirect (OTCMKTS:ARTD) Financial Comparison

Sezzle (NASDAQ:SEZL) and ARTISTdirect (OTCMKTS:ARTD) are both business services 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.

Institutional & Insider Ownership

2.0% of Sezzle shares are held by institutional investors. 57.7% of Sezzle 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.

Analyst Recommendations

This is a summary of current ratings and target prices for Sezzle and ARTISTdirect, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sezzle	0	0	2	1	3.33
ARTISTdirect	0	0	0	0	0.00

Sezzle currently has a consensus target price of $366.00, suggesting a potential upside of 43.99%. Given Sezzle’s stronger consensus rating and higher possible upside, equities analysts clearly believe Sezzle is more favorable than ARTISTdirect.

Valuation and Earnings

This table compares Sezzle and ARTISTdirect”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sezzle	$221.81 million	6.43	$7.10 million	$9.40	27.04
ARTISTdirect	N/A	N/A	N/A	N/A	N/A

Sezzle has higher revenue and earnings than ARTISTdirect.

Profitability

This table compares Sezzle and ARTISTdirect’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sezzle	25.29%	101.18%	18.90%
ARTISTdirect	N/A	N/A	N/A

Summary

Sezzle beats ARTISTdirect on 10 of the 10 factors compared between the two stocks.

About Sezzle

Sezzle Inc. operates as a technology-enabled payments company primarily in the United States and Canada. The company provides payment solution in-store and at online retail stores; and through proprietary payments solution that connects consumers with merchants. It also offers Sezzle Platform that provides a payments solution for consumers that extends credit at the point-of-sale allowing consumers to purchase and receive the ordered merchandise at the time of sale while paying in installments over time; Pay-in-Four, which allows consumers to pay a fourth of the purchase price up front and then another fourth of the purchase price every two weeks thereafter over a total of six weeks; Pay-in-Full that allows consumers to pay for the full value of their order up-front through the Sezzle Platform without the extension of credit; and Pay-in-Two and other alternative installment options, which allow consumer to pay half of the value of their order up-front and the second half in two weeks. In addition, the company provides Sezzle Virtual Card that allows consumers to access the Sezzle Platform in the form of close-end installment loans and shop with merchants that are not integrated with Sezzle; Sezzle Anywhere, a paid subscription service that allows consumers to use their Sezzle Virtual Card at any merchant online or in-store; Sezzle Premium, a paid subscription service that allows its consumers to access large, non-integrated premium merchants; and Sezzle Up, an opt-in feature of the Sezzle Platform. Further, it offers Long-Term Lending through collaboration with third-party lenders and Product Innovation. Sezzle Inc. was incorporated in 2016 and is headquartered in Minneapolis, Minnesota.

About ARTISTdirect

ARTISTdirect, Inc. operates an online platform that provides music and recorded labels. It offers multi-media content, music news and information, online fan communities, music related commerce, and digital music services. The company also provides iMusic record labels of rock and urban music. ARTISTdirect, Inc. was founded in 1996 and is based in Santa Monica, California.