Critical Survey: Adyen (OTCMKTS:ADYEY) vs. Disco (OTCMKTS:DSCSY)

Disco (OTCMKTS:DSCSY) and Adyen (OTCMKTS:ADYEY) are both large-cap industrials companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, dividends, institutional ownership, earnings, valuation, profitability and analyst recommendations.

Volatility and Risk

Disco has a beta of 1.03, suggesting that its stock price is 3% more volatile than the S&P 500. Comparatively, Adyen has a beta of 2.49, suggesting that its stock price is 149% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Disco and Adyen, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Disco	0	1	0	0	2.00
Adyen	0	0	1	2	3.67

Profitability

This table compares Disco and Adyen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Disco	32.04%	28.36%	20.71%
Adyen	N/A	N/A	N/A

Insider & Institutional Ownership

0.0% of Disco shares are owned by institutional investors. Comparatively, 0.1% of Adyen shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Disco and Adyen”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Disco	$2.13 billion	9.22	$581.02 million	$0.73	24.82
Adyen	$2.41 billion	17.70	$1.00 billion	N/A	N/A

Adyen has higher revenue and earnings than Disco.

Summary

Adyen beats Disco on 8 of the 11 factors compared between the two stocks.

About Disco

Disco Corporation manufactures and sells precision cutting, grinding, and polishing machines in Japan and internationally. Its precision machines include dicing saws, laser saws, grinders, polishers, wafer mounters, die separators, surface planers, and waterjet saws. The company also offers precision processing tools, such as dicing blades, grinding wheels, and dry polishing wheels; and other products, such as accessory equipment. In addition, it is involved in the disassembly and recycling of precision cutting, grinding, and polishing machines, as well as provides training services for the maintenance and operation of its products. Further, the company leases precision machines; and purchases and sells used machines. Additionally, it manufactures precision diamond abrasive tools, as well as offers chargeable processing services. The company was founded in 1937 and is headquartered in Tokyo, Japan.

About Adyen

Adyen N.V. operates a payments platform in Europe, the Middle East, Africa, North America, the Asia Pacific, Latin America. The company's platform integrates payments stack that include gateway, risk management, processing, issuing, acquiring, and settlement services. It offers a back-end infrastructure for authorizing. It serves digital, mobility, platforms and marketplace, retail, food and beverages, subscription, and hospital businesses. Adyen N.V. was incorporated in 2006 and is headquartered in Amsterdam, the Netherlands.