Bilibili (NASDAQ:BILI) and RingCentral (NYSE:RNG) are both large-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their risk, institutional ownership, earnings, dividends, valuation, analyst recommendations and profitability.
Valuation and Earnings
This table compares Bilibili and RingCentral's gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| Bilibili | $973.59 million | 38.24 | $-185,150,000.00 | ($0.57) | -185.61 |
| RingCentral | $902.86 million | 31.80 | $-53,610,000.00 | ($0.19) | -1,670.00 |
RingCentral has lower revenue, but higher earnings than Bilibili. RingCentral is trading at a lower price-to-earnings ratio than Bilibili, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a breakdown of current ratings and recommmendations for Bilibili and RingCentral, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| Bilibili | 0 | 2 | 9 | 0 | 2.82 |
| RingCentral | 0 | 0 | 21 | 1 | 3.05 |
Bilibili presently has a consensus target price of $66.0455, suggesting a potential downside of 37.58%. RingCentral has a consensus target price of $431.7727, suggesting a potential upside of 36.08%. Given RingCentral's stronger consensus rating and higher probable upside, analysts plainly believe RingCentral is more favorable than Bilibili.
Profitability
This table compares Bilibili and RingCentral's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| Bilibili | -25.28% | -30.90% | -12.85% |
| RingCentral | -9.66% | -12.62% | -3.55% |
Insider and Institutional Ownership
39.1% of Bilibili shares are owned by institutional investors. Comparatively, 86.3% of RingCentral shares are owned by institutional investors. 11.0% of RingCentral shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Risk and Volatility
Bilibili has a beta of 1.42, meaning that its share price is 42% more volatile than the S&P 500. Comparatively, RingCentral has a beta of 0.7, meaning that its share price is 30% less volatile than the S&P 500.
Summary
RingCentral beats Bilibili on 11 of the 15 factors compared between the two stocks.
