STUB (NYSE:STUB – Get Free Report) and Sohu.com (NASDAQ:SOHU – Get Free Report) are both communication services companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, profitability, dividends, earnings, valuation, institutional ownership and risk.
Insider & Institutional Ownership
33.0% of Sohu.com shares are owned by institutional investors. 31.0% of STUB shares are owned by company insiders. Comparatively, 21.1% of Sohu.com shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.
Profitability
This table compares STUB and Sohu.com’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| STUB | -93.54% | -9.50% | -2.67% |
| Sohu.com | 38.15% | 21.63% | 16.13% |
Valuation and Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| STUB | $1.75 billion | 1.28 | -$1.91 billion | ($5.74) | -1.02 |
| Sohu.com | $584.33 million | 0.61 | $394.10 million | $8.57 | 1.59 |
Sohu.com has lower revenue, but higher earnings than STUB. STUB is trading at a lower price-to-earnings ratio than Sohu.com, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a summary of recent ratings and recommmendations for STUB and Sohu.com, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| STUB | 2 | 7 | 5 | 0 | 2.21 |
| Sohu.com | 0 | 1 | 2 | 0 | 2.67 |
STUB currently has a consensus price target of $10.83, indicating a potential upside of 84.68%. Sohu.com has a consensus price target of $19.00, indicating a potential upside of 39.60%. Given STUB’s higher possible upside, equities analysts plainly believe STUB is more favorable than Sohu.com.
Summary
Sohu.com beats STUB on 8 of the 13 factors compared between the two stocks.
About STUB
Stubhub Holdings Inc., through its subsidiaries, provides an online marketplace to buy and sell tickets for sports, concerts, theater, festivals and other live events. Stubhub Holdings Inc. is based in NEW YORK.
About Sohu.com
Sohu.com Limited engages in the provision of online media, video, and game products and services on personal computers (PCs) and mobile devices in China. It operates through two segments: Sohu and Changyou. The company offers online news, information, and content services through the mobile phone application Sohu News APP, mobile portal m.sohu.com, and www.sohu.com for PCs; and online video content and services through mobile phone application Sohu Video APP and tv.sohu.com, as well as ifox, a video application for PC. It also operates Focus (www.focus.cn), which provides online real estate information and services; and 17173.com website, which provides news, electronic forums, online videos, and other online game information services to game players, as well as offers mobile game distribution services. In addition, the company offers interactive online games for PCs and mobile devices. Further, it provides paid subscription and interactive broadcasting services. The company was incorporated in 1996 and is headquartered in Beijing, China.
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