Contrasting Angi (NASDAQ:ANGI) & Baidu (NASDAQ:BIDU)

Baidu (NASDAQ:BIDU) and Angi (NASDAQ:ANGI) are both communication services companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, institutional ownership, risk, dividends, valuation and earnings.

Insider and Institutional Ownership

12.8% of Angi shares are held by institutional investors. 16.7% of Baidu shares are held by company insiders. Comparatively, 3.3% of Angi 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.

Risk and Volatility

Baidu has a beta of 0.58, suggesting that its share price is 42% less volatile than the S&P 500. Comparatively, Angi has a beta of 1.62, suggesting that its share price is 62% more volatile than the S&P 500.

Valuation & Earnings

This table compares Baidu and Angi”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Baidu	$18.46 billion	1.77	$799.00 million	($2.11)	-45.53
Angi	$1.03 billion	0.18	$43.83 million	($5.52)	-0.85

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

Profitability

This table compares Baidu and Angi’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Baidu	-2.63%	4.30%	2.64%
Angi	-22.35%	1.52%	0.84%

Analyst Ratings

This is a summary of recent ratings and recommmendations for Baidu and Angi, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Baidu	4	2	16	1	2.61
Angi	1	7	2	0	2.10

Baidu currently has a consensus price target of $154.89, indicating a potential upside of 61.24%. Angi has a consensus price target of $9.29, indicating a potential upside of 98.84%. Given Angi’s higher probable upside, analysts clearly believe Angi is more favorable than Baidu.

Summary

Baidu beats Angi on 11 of the 15 factors compared between the two stocks.

About Baidu

Baidu, Inc. engages in the provision of internet search services in China. It operates through two segments: Baidu Core and iQIYI. The company offers Baidu App to access search, feed, and other services using mobile devices; Baidu Search to access its search and other services; Baidu Feed that provides users with personalized timeline based on their demographics and interests; Baidu Health that helps users to find the doctor and hospital for healthcare needs; and Haokan, a short video app. It also provides Baidu Knows, an online community where users can ask questions to other users; Baidu Wiki; Baidu Experience; Baidu Post; ERNIE Bot, conversational AI bot; Baidu Wenku; Baidu Maps, a voice-enabled mobile app that provides travel-related services; Baidu Drive; Baijiahao; and DuerOS, a smart assistant platform. In addition, it offers online marketing services, which include pay for performance, an auction-based services that allow customers to bid for priority placement of paid sponsored links and reach users who search for information related to their products or services; other marketing services that include display-based marketing services and other online marketing services based on performance criteria other than cost per click; mobile ecosystem, a portfolio of apps, including Baidu App, Haokan, and Baidu Post; various cloud services and solutions, such as platform as a service, software as a service, and infrastructure as a service; self-driving services, including maps, automated valet parking, navigation pilot, electric vehicles, and robotaxi fleets, as well as Xiaodu smart devices. Further, the company provides iQIYI, an online entertainment service, including original and licensed content; other video content and membership; and online advertising services. It has strategic partnership with Zhejiang Geely Holding Group. The company was formerly known as Baidu.com, Inc. Baidu, Inc. was incorporated in 2000 and is headquartered in Beijing, China.

About Angi

Angi Inc. connects home service professionals with consumers in the United States and internationally. The company operates through three segments: Ads and Leads, Services, and International. It provides consumers with tools and resources to help them find local, pre-screened and customer-rated service professionals, matches consumers with independently established home services professionals. The company's Ads and Leads segment connects consumers with service professionals for local services through nationwide network of service professionals in various service categories; provides consumers with valuable tools, services, and content, including verified reviews, to help them research, shop, and hire for local services; and sells term-based website, mobile, and magazine advertising to certified service professionals, as well as services and tools, including quoting, invoicing, and payment services. This segment provides consumers access to online True Cost Guide, which provides project cost information for various project types, as well as a library of home services-related content. Its Services segment offers a pre-priced offering, pursuant to which consumers can request services through Angi and Handy branded platforms and pay for such services on the applicable platform directly; and provides professionals with access to a pool of consumers seeking service professionals and must validate their home services experience, as well as attest to holding the requisite license(s) and maintain an acceptable rating to remain on Services platforms. The company's International segment operates Travaux, MyBuilder, MyHammer, Werkspo, and Homestars home services marketplaces. The company was formerly known as ANGI Homeservices Inc. and changed its name to Angi Inc. in March 2021. The company was incorporated in 2017 and is headquartered in Denver, Colorado. Angi Inc. operates as a subsidiary of IAC Inc.