Head to Head Analysis: Zeta Network Group (NASDAQ:ZNB) and Agora (NASDAQ:API)

Agora (NASDAQ:API) and Zeta Network Group (NASDAQ:ZNB) are both small-cap technology 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.

Risk and Volatility

Agora has a beta of 0.78, suggesting that its stock price is 22% less volatile than the S&P 500. Comparatively, Zeta Network Group has a beta of 2.82, suggesting that its stock price is 182% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and price targets for Agora and Zeta Network Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Agora	1	1	1	0	2.00
Zeta Network Group	1	0	0	0	1.00

Profitability

This table compares Agora and Zeta Network Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Agora	7.03%	1.82%	1.43%
Zeta Network Group	N/A	N/A	N/A

Institutional & Insider Ownership

40.4% of Agora shares are held by institutional investors. Comparatively, 3.4% of Zeta Network Group shares are held by institutional investors. 14.6% of Agora shares are held by insiders. Comparatively, 38.9% of Zeta Network Group 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.

Valuation & Earnings

This table compares Agora and Zeta Network Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Agora	$141.06 million	2.48	$9.53 million	$0.10	40.00
Zeta Network Group	$8.73 million	0.05	-$43.00 million	N/A	N/A

Agora has higher revenue and earnings than Zeta Network Group.

Summary

Agora beats Zeta Network Group on 9 of the 11 factors compared between the two stocks.

About Agora

Agora, Inc. operates in real-time engagement technology business in the People's Republic of China, the United States, and internationally. The company offers real-time engagement platform-as-a-services providing developers with application programming interfaces to embed real-time voice, video, interactive live-streaming, chat, whiteboard, and artificial intelligence capabilities into their applications. It also provides video and voice calling, interactive live and broadcast streaming, chat, signaling, and interactive whiteboard products; and extensions, such as analytics, recording, AI noise suppression, 3D spatial audio, real-time transcription, and extensions marketplace. In addition, the company offers Application Platforms, including Flexible Classroom, a low-code application Platform as a Service, which combines video, voice, chat, signaling, whiteboard and recording functionalities into an integrated cloud-based solution for education providers; and App Builder, a no-code application platform, designed for developers with little or no coding experience to build their own applications with video conference and live streaming functionalities. It operates through Agora and Shengwang brands. Agora, Inc. was incorporated in 2013 and is headquartered in Santa Clara, California.

About Zeta Network Group

Color Star Technology Co., Ltd., an entertainment and education company, provides online entertainment performances and music education services in the United States and China. The company operates Color World, an online platform of curriculum that includes music, sports, animation, painting and calligraphy, film and television, life skills, etc. Its Color World platform provides celebrity lectures, celebrity concert videos, celebrity peripheral products, and artist interactive communication services. The company was formerly known as Huitao Technology Co., Ltd. and changed its name to Color Star Technology Co., Ltd. in May 2020. Color Star Technology Co., Ltd. was founded in 2002 and is based in New York, New York.