GigaMedia (NASDAQ:GIGM) & theglobe.com (OTCMKTS:TGLO) Critical Review

GigaMedia (NASDAQ:GIGMGet Free Report) and theglobe.com (OTCMKTS:TGLOGet Free Report) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, analyst recommendations, earnings, dividends, risk, institutional ownership and valuation.

Insider and Institutional Ownership

13.5% of GigaMedia shares are owned by institutional investors. 1.0% of GigaMedia shares are owned by insiders. Comparatively, 72.3% of theglobe.com shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares GigaMedia and theglobe.com’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
GigaMedia -37.82% -3.25% -3.08%
theglobe.com N/A N/A -889.92%

Analyst Recommendations

This is a breakdown of recent recommendations for GigaMedia and theglobe.com, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
GigaMedia 1 0 0 0 1.00
theglobe.com 0 0 0 0 0.00

Risk and Volatility

GigaMedia has a beta of 0.41, indicating that its share price is 59% less volatile than the S&P 500. Comparatively, theglobe.com has a beta of -1.65, indicating that its share price is 265% less volatile than the S&P 500.

Valuation and Earnings

This table compares GigaMedia and theglobe.com”s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
GigaMedia $2.97 million 5.67 -$2.30 million ($0.11) -13.86
theglobe.com N/A N/A -$200,000.00 N/A N/A

theglobe.com has lower revenue, but higher earnings than GigaMedia.

Summary

GigaMedia beats theglobe.com on 5 of the 9 factors compared between the two stocks.

About GigaMedia

(Get Free Report)

GigaMedia Limited, together with its subsidiaries, provides digital entertainment services in Taiwan, Hong Kong, and Macau. The company owns and operates FunTown, a digital entertainment portal that offers mobile and browser-based casual games, as well as provides services such as player clubs, tournaments, avatars, friends and family messenger and online chatting systems, customer service, mobile platform, and customer platform. It also offers MahJong, a traditional Chinese tile-based game; casual card and table games; online card games; and chance-based games, including bingo, lotto, horse racing, Sic-Bo, slots, and other casual games. In addition, the company provides role-playing and sports games, such as Tales Runner, a multi-player online obstacle running game; Yume 100, a story-based game that targets female players; Akaseka, a female-oriented game; and Shinobi Master New Link, a male-oriented game. GigaMedia Limited was founded in 1998 and is headquartered in Taipei, Taiwan.

About theglobe.com

(Get Free Report)

theglobe.com, inc. does not have significant operations. Previously, it was involved in the operation of an online community with registered members and users in the United States and internationally. The company was incorporated in 1995 and is based in Houston, Texas. theglobe.com, inc. is a subsidiary of Delfin Midstream LLC.

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