Comparing CyberAgent (OTCMKTS:CYAGF) & Sohu.com (NASDAQ:SOHU)

CyberAgent (OTCMKTS:CYAGF) and Sohu.com (NASDAQ:SOHU) are both computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, earnings, valuation and risk.

Volatility and Risk

CyberAgent has a beta of 0.33, indicating that its stock price is 67% less volatile than the S&P 500. Comparatively, Sohu.com has a beta of 0.42, indicating that its stock price is 58% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations for CyberAgent and Sohu.com, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CyberAgent	0	0	0	0	0.00
Sohu.com	0	1	2	0	2.67

Sohu.com has a consensus price target of $20.00, suggesting a potential upside of 27.39%. Given Sohu.com’s stronger consensus rating and higher probable upside, analysts clearly believe Sohu.com is more favorable than CyberAgent.

Insider & Institutional Ownership

33.0% of Sohu.com shares are held by institutional investors. 21.1% of Sohu.com shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares CyberAgent and Sohu.com”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CyberAgent	$5.86 billion	0.69	$212.17 million	$0.50	15.92
Sohu.com	$584.33 million	0.70	$394.10 million	$14.08	1.12

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

Profitability

This table compares CyberAgent and Sohu.com’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CyberAgent	4.31%	16.76%	8.48%
Sohu.com	67.44%	20.67%	13.84%

Summary

Sohu.com beats CyberAgent on 12 of the 14 factors compared between the two stocks.

About CyberAgent

CyberAgent, Inc. engages in the media, internet advertising, game, and investment development businesses primarily in Japan. The company operates Ameba, a blog service; Tapple for online dating; AWA, a music streaming service; and WinTicket for online betting. It also offers internet advertising agency and ad technology services; and smartphone games. In addition, the company operates a programming school for kids and provides application and reward points exchange platform services; artificial intelligence services; and digital transformation services. CyberAgent, Inc. was incorporated in 1998 and is headquartered in Tokyo, Japan.

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.