NetEase (NTES) Competitors

NetEase (NASDAQ:NTES) and Shopify (NYSE:SHOP) are both large-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, analyst recommendations, risk, valuation, institutional ownership, community ranking, earnings and media sentiment.

Is NTES or SHOP more profitable?

NetEase has a net margin of 28.17% compared to Shopify's net margin of 22.74%. NetEase's return on equity of 22.12% beat Shopify's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
NetEase	28.17%	22.12%	15.73%
Shopify	22.74%	12.00%	9.79%

Which has more risk and volatility, NTES or SHOP?

NetEase has a beta of 0.66, meaning that its stock price is 34% less volatile than the S&P 500. Comparatively, Shopify has a beta of 2.66, meaning that its stock price is 166% more volatile than the S&P 500.

Does the media refer more to NTES or SHOP?

In the previous week, Shopify had 11 more articles in the media than NetEase. MarketBeat recorded 49 mentions for Shopify and 38 mentions for NetEase. NetEase's average media sentiment score of 1.04 beat Shopify's score of 0.97 indicating that NetEase is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
NetEase	20 Very Positive mention(s)	5 Positive mention(s)	9 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Shopify	32 Very Positive mention(s)	4 Positive mention(s)	10 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive

Do institutionals & insiders have more ownership in NTES or SHOP?

11.1% of NetEase shares are owned by institutional investors. Comparatively, 69.3% of Shopify shares are owned by institutional investors. 54.7% of NetEase shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Does the MarketBeat Community prefer NTES or SHOP?

Shopify received 748 more outperform votes than NetEase when rated by MarketBeat users. However, 69.10% of users gave NetEase an outperform vote while only 66.30% of users gave Shopify an outperform vote.

Company	Underperform	Outperform
NetEase	Outperform Votes 682 69.10%	Underperform Votes 305 30.90%
Shopify	Outperform Votes 1430 66.30%	Underperform Votes 727 33.70%

Which has higher earnings and valuation, NTES or SHOP?

NetEase has higher revenue and earnings than Shopify. NetEase is trading at a lower price-to-earnings ratio than Shopify, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NetEase	$105.30B	0.73	$4.14B	$6.95	17.34
Shopify	$9.38B	14.60	$2.02B	$1.23	85.96

Do analysts recommend NTES or SHOP?

NetEase presently has a consensus price target of $119.38, indicating a potential downside of 0.95%. Shopify has a consensus price target of $115.37, indicating a potential upside of 9.12%. Given Shopify's higher probable upside, analysts clearly believe Shopify is more favorable than NetEase.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NetEase	0 Sell rating(s)	1 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.88
Shopify	1 Sell rating(s)	14 Hold rating(s)	26 Buy rating(s)	2 Strong Buy rating(s)	2.67

Summary

NetEase beats Shopify on 10 of the 19 factors compared between the two stocks.