Analyzing Kuboo (OTCMKTS:SGTB) & Alight (NYSE:ALIT)

Kuboo (OTCMKTS:SGTB) and Alight (NYSE:ALIT) are both financial services companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, risk, institutional ownership, analyst recommendations, earnings, profitability and dividends.

Insider & Institutional Ownership

96.7% of Alight shares are held by institutional investors. 8.6% of Kuboo shares are held by company insiders. Comparatively, 4.0% of Alight shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Kuboo and Alight, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kuboo	0	0	0	0	N/A
Alight	0	0	7	0	3.00

Alight has a consensus price target of $12.71, suggesting a potential upside of 41.11%. Given Alight’s higher probable upside, analysts plainly believe Alight is more favorable than Kuboo.

Earnings and Valuation

This table compares Kuboo and Alight’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kuboo	N/A	N/A	N/A	N/A	N/A
Alight	$3.41 billion	1.49	-$345.00 million	($0.55)	-16.38

Kuboo has higher earnings, but lower revenue than Alight.

Risk & Volatility

Kuboo has a beta of 0.43, meaning that its share price is 57% less volatile than the S&P 500. Comparatively, Alight has a beta of 0.92, meaning that its share price is 8% less volatile than the S&P 500.

Profitability

This table compares Kuboo and Alight’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kuboo	N/A	N/A	N/A
Alight	-7.80%	5.09%	2.30%

Summary

Alight beats Kuboo on 7 of the 9 factors compared between the two stocks.

About Kuboo

Kuboo, Inc., doing business as Safe Communications, Inc., provides open and secure family communications. It operates a child safe virtual world that offers games, edutainment, controlled chat, and multiple channels online streaming in one platform. The company was founded in 2004 and is based in Scottsdale, Arizona.

About Alight

Alight, Inc. provides cloud-based integrated digital human capital and business solutions worldwide. The company operates through two segments, Employer Solutions and Professional Services. The Employer Solutions segment offers employee wellbeing, integrated benefits administration, healthcare navigation, financial wellbeing, leave of absence management, retiree healthcare and payroll; and operates AI-led capabilities software. The Professional Services segment offers consulting offerings, such as cloud advisory, deployment, and optimization services for cloud platforms. The company provides Alight Worklife, an intuitive, cloud-based employee engagement platform. Its solutions enable employees to enrich their health, wealth, and wellbeing that helps organizations achieve a high-performance culture. Alight, Inc. was founded in 2020 and is based in Lincolnshire, Illinois.