Head to Head Review: KANZHUN (NASDAQ:BZ) vs. HubSpot (NYSE:HUBS)

KANZHUN (NASDAQ:BZ) and HubSpot (NYSE:HUBS) are both computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their valuation, institutional ownership, dividends, risk, earnings, analyst recommendations and profitability.

Analyst Ratings

This is a summary of recent ratings for KANZHUN and HubSpot, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KANZHUN	0	2	4	1	2.86
HubSpot	1	1	27	1	2.93

KANZHUN currently has a consensus target price of $23.00, indicating a potential upside of 72.41%. HubSpot has a consensus target price of $443.34, indicating a potential upside of 86.39%. Given HubSpot’s stronger consensus rating and higher probable upside, analysts clearly believe HubSpot is more favorable than KANZHUN.

Valuation & Earnings

This table compares KANZHUN and HubSpot”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
KANZHUN	$1.18 billion	4.72	$391.15 million	$0.83	16.07
HubSpot	$3.13 billion	4.01	$45.91 million	$0.87	273.40

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

Risk and Volatility

KANZHUN has a beta of 0.45, meaning that its stock price is 55% less volatile than the S&P 500. Comparatively, HubSpot has a beta of 1.4, meaning that its stock price is 40% more volatile than the S&P 500.

Profitability

This table compares KANZHUN and HubSpot’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KANZHUN	33.11%	15.22%	12.15%
HubSpot	1.47%	3.64%	1.95%

Insider and Institutional Ownership

60.7% of KANZHUN shares are held by institutional investors. Comparatively, 90.4% of HubSpot shares are held by institutional investors. 4.0% of HubSpot shares are held by company 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.

Summary

HubSpot beats KANZHUN on 9 of the 14 factors compared between the two stocks.

About KANZHUN

Kanzhun Limited, together with its subsidiaries, provides online recruitment services in the People's Republic of China. The company offers its recruitment services through a mobile app under the BOSS Zhipin brand name. Its services allow enterprise customers to access and interact with job seekers and manage their recruitment process. The company also provides management consultancy and technical services. Kanzhun Limited was founded in 2013 and is headquartered in Beijing, the People's Republic of China.

About HubSpot

HubSpot, Inc., together with its subsidiaries, provides a cloud-based customer relationship management (CRM) platform for businesses in the Americas, Europe, and the Asia Pacific. The company's CRM platform includes Marketing Hub, a toolset for marketing automation and email, social media, SEO, and reporting and analytics; Sales Hub offers email templates and tracking, conversations and live chat, meeting and call scheduling, lead and website visit alerts, lead scoring, sales automation, pipeline management, quoting, forecasting, and reporting; Service Hub, a service software designed to help businesses manage, respond, and connect with customers; and Content Management Systems Hub enables businesses to create new and edit existing web content. It offers Operations Hub, which is designed to unify customer data, automate business processes, data cleanup, and provide customer insights and connections; and Commerce Hub, a B2B commerce suite. In addition, the company provides professional services to educate and train customers on how to utilize its CRM platform; and customer success, as well as phone and/or email and chat-based support services. It serves mid-market business-to-business companies. The company was incorporated in 2005 and is headquartered in Cambridge, Massachusetts.