Critical Survey: Valuence Merger Corp. I (NASDAQ:VMCA) and Codere Online Luxembourg (NASDAQ:CDRO)

Valuence Merger Corp. I (NASDAQ:VMCA) and Codere Online Luxembourg (NASDAQ:CDRO) are both small-cap unclassified companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, dividends, profitability, risk and valuation.

Analyst Recommendations

This is a summary of recent ratings and price targets for Valuence Merger Corp. I and Codere Online Luxembourg, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Valuence Merger Corp. I	0	0	0	0	0.00
Codere Online Luxembourg	0	0	2	0	3.00

Codere Online Luxembourg has a consensus target price of $10.00, indicating a potential upside of 45.77%. Given Codere Online Luxembourg’s stronger consensus rating and higher possible upside, analysts clearly believe Codere Online Luxembourg is more favorable than Valuence Merger Corp. I.

Valuation and Earnings

This table compares Valuence Merger Corp. I and Codere Online Luxembourg”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Valuence Merger Corp. I	N/A	N/A	$4.77 million	$0.16	72.86
Codere Online Luxembourg	N/A	N/A	N/A	N/A	N/A

Risk and Volatility

Valuence Merger Corp. I has a beta of 0.01, suggesting that its stock price is 99% less volatile than the S&P 500. Comparatively, Codere Online Luxembourg has a beta of 0.48, suggesting that its stock price is 52% less volatile than the S&P 500.

Institutional & Insider Ownership

52.2% of Valuence Merger Corp. I shares are held by institutional investors. Comparatively, 10.3% of Codere Online Luxembourg shares are held by institutional investors. 47.0% of Valuence Merger Corp. I shares are held by insiders. Comparatively, 1.2% of Codere Online Luxembourg shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Valuence Merger Corp. I and Codere Online Luxembourg’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Valuence Merger Corp. I	N/A	-12.23%	3.41%
Codere Online Luxembourg	N/A	N/A	N/A

Summary

Codere Online Luxembourg beats Valuence Merger Corp. I on 5 of the 8 factors compared between the two stocks.

About Valuence Merger Corp. I

Valuence Merger Corp. I does not have significant operations. It intends to effect a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses or entities in developing breakthrough technology in life sciences and/or advancing a platform for sustainable technology in Asia. The company was incorporated in 2021 and is based in Orinda, California.

About Codere Online Luxembourg

Codere Online Luxembourg, S.A. operates as an online casino gaming and sports betting company. It also offers online casino wagering products and services, as well as online gambling and other online services. The company offers its products under the Codere and Greenplay brand names. It primarily operates in Spain, Italy, Mexico, Colombia, the United Kingdom, Germany, South Africa, Austria, Malta, Panama, and Argentina. The company is based in Luxembourg, Luxembourg.