Comparing iHeartMedia (NASDAQ:IHRT) & Bilibili (NASDAQ:BILI)

Bilibili (NASDAQ:BILI) and iHeartMedia (NASDAQ:IHRT) are both consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, valuation, risk, dividends, earnings, analyst recommendations and institutional ownership.

Earnings and Valuation

This table compares Bilibili and iHeartMedia”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bilibili	$3.68 billion	2.77	-$184.51 million	$0.25	97.56
iHeartMedia	$3.85 billion	0.18	-$1.01 billion	($2.59)	-1.75

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

Volatility and Risk

Bilibili has a beta of 0.73, indicating that its stock price is 27% less volatile than the S&P 500. Comparatively, iHeartMedia has a beta of 1.69, indicating that its stock price is 69% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations for Bilibili and iHeartMedia, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bilibili	0	4	6	1	2.73
iHeartMedia	1	3	1	0	2.00

Bilibili presently has a consensus target price of $29.61, indicating a potential upside of 21.42%. iHeartMedia has a consensus target price of $4.50, indicating a potential downside of 0.88%. Given Bilibili’s stronger consensus rating and higher possible upside, equities analysts clearly believe Bilibili is more favorable than iHeartMedia.

Profitability

This table compares Bilibili and iHeartMedia’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bilibili	2.60%	6.99%	2.78%
iHeartMedia	-10.37%	-1.63%	0.50%

Insider and Institutional Ownership

16.1% of Bilibili shares are owned by institutional investors. Comparatively, 93.9% of iHeartMedia shares are owned by institutional investors. 22.2% of Bilibili shares are owned by company insiders. Comparatively, 6.3% of iHeartMedia shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Bilibili beats iHeartMedia on 12 of the 15 factors compared between the two stocks.

About Bilibili

Bilibili Inc. provides online entertainment services for the young generations in the People's Republic of China. It offers a range of digital content, including professional user generated videos, mobile games, and value-added services, such as live broadcasting, occupationally generated videos, audio drama on Maoer, and comics on Bilibili Comic. The company also provides advertising services; and IP derivatives and other services. In addition, it engages in the business and technology development activities; e-commerce business; and video, comics, and game distribution activities. Bilibili Inc. was founded in 2009 and is headquartered in Shanghai, the People's Republic of China.

About iHeartMedia

iHeartMedia, Inc. operates as an audio media company in the United States and internationally. It operates through three segments: Multiplatform Group, Digital Audio Group, and Audio & Media Services Group. The Multiplatform Group segment offers broadcast radio stations, sponsorship and events, and live and virtual events; and operates Premiere Networks, a national radio network that produces, distributes, or represents syndicated radio programs and services to radio station affiliates. It also delivers real-time traffic flow and incident information, and weather updates, sports, and news. The Digital Audio Group segment provides podcasting, digital sites, newsletters, digital services, and programs; and iHeartRadio, a mobile app and web based service for radio stations, digital only stations, custom artist stations, and podcasts. The Audio and Media Services Group segment engages in the media representation business; and provides scheduling and broadcast software and services. This segment also provides RCS, a cloud and on-premises broadcast software, such as radio and television automation, music scheduling, newsroom automation, advertising sales management, disaster recovery solutions; and real-time audio recognition technology to radio and television stations, cable channels, record labels, advertisers, and agencies, as well as media streaming and research services. The company was formerly known as CC Media Holdings, Inc. and changed its name to iHeartMedia, Inc. in September 2014. The company is headquartered in San Antonio, Texas.