Analyzing ZipLink (OTCMKTS:ZIPL) and Uxin (NASDAQ:UXIN)

Uxin (NASDAQ:UXIN) and ZipLink (OTCMKTS:ZIPL) are both small-cap computer and technology companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, dividends, profitability, valuation and risk.

Insider and Institutional Ownership

22.4% of Uxin shares are owned by institutional investors. 62.9% of Uxin shares are owned by insiders. Comparatively, 57.5% of ZipLink shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and price targets for Uxin and ZipLink, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Uxin	1	0	1	0	2.00
ZipLink	0	0	0	0	0.00

Uxin currently has a consensus price target of $4.50, indicating a potential upside of 46.58%. Given Uxin’s stronger consensus rating and higher possible upside, analysts clearly believe Uxin is more favorable than ZipLink.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Uxin	$190.40 million	3.03	-$11.18 million	($0.20)	-15.35
ZipLink	N/A	N/A	N/A	N/A	N/A

ZipLink has lower revenue, but higher earnings than Uxin.

Profitability

This table compares Uxin and ZipLink’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Uxin	-10.66%	N/A	-8.15%
ZipLink	N/A	N/A	N/A

Summary

Uxin beats ZipLink on 6 of the 8 factors compared between the two stocks.

About Uxin

Uxin Limited, an investment holding company, engages in the retail sale of vehicles in China. The company operates an e-commerce platform for buying and selling used cars. It also offers used-car acquisition, inspection, reconditioning, warehousing, pre-sales and after-sales, and various car-related value-added products and services, as well as warranty and repair, delivery, and title transfers and vehicle registration services. Uxin Limited was incorporated in 2011 and is headquartered in Beijing, China.

About ZipLink

This record represents the public shell of ZipLink, Inc. In November 2000, ZipLink, Inc. suspended its operations and announced the lay off of substantially all of its employees except those necessary to wind down operations. Ziplink, Inc. operated as a wholesale connectivity provider in North America for the Business-to-Business marketplace, including Internet service providers, competitive local exchange carriers, Web appliance vendors, and PC manufacturers and distributors, as of September 30, 2000. ZipLink also offered a range of Internet connectivity services for Internet appliances, including Internet access and subscriber authentication. The company was founded in 1995 and is based in Lowell, Massachusetts.