Head to Head Contrast: Embracer Group AB (publ) (OTCMKTS:THQQF) versus Roblox (NYSE:RBLX)

Roblox (NYSE:RBLX) and Embracer Group AB (publ) (OTCMKTS:THQQF) are both communication services companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, dividends, earnings, risk, analyst recommendations, valuation and institutional ownership.

Analyst Ratings

This is a summary of current recommendations and price targets for Roblox and Embracer Group AB (publ), as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Roblox	3	15	12	1	2.35
Embracer Group AB (publ)	0	0	0	0	0.00

Roblox currently has a consensus price target of $60.89, indicating a potential upside of 58.20%. Given Roblox’s stronger consensus rating and higher probable upside, analysts plainly believe Roblox is more favorable than Embracer Group AB (publ).

Institutional and Insider Ownership

94.5% of Roblox shares are owned by institutional investors. 10.1% of Roblox shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Roblox and Embracer Group AB (publ)”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Roblox	$4.89 billion	5.27	-$1.07 billion	($1.43)	-26.92
Embracer Group AB (publ)	N/A	N/A	N/A	N/A	N/A

Embracer Group AB (publ) has lower revenue, but higher earnings than Roblox.

Profitability

This table compares Roblox and Embracer Group AB (publ)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Roblox	-17.60%	-292.85%	-10.13%
Embracer Group AB (publ)	N/A	N/A	N/A

Summary

Roblox beats Embracer Group AB (publ) on 7 of the 10 factors compared between the two stocks.

About Roblox

Roblox Corporation develops and operates an online entertainment platform in the United States and internationally. It offers Roblox Studio, a free toolset that allows developers and creators to build, publish, and operate 3D experiences, and other content; Roblox Client, an application that allows users to explore 3D experience; and Roblox Cloud, which provides services and infrastructure that power the platform. Roblox Corporation was incorporated in 2004 and is headquartered in San Mateo, California.

About Embracer Group AB (publ)

Embracer Group AB (publ), together with its subsidiaries, develops and publishes PC, console, mobile, VR, and board games for the games market worldwide. The company also publishes films and comic books, as well as engages in the trading of card games. It distributes games through retailers, physical stores, and digital distributors. The company was formerly known as THQ Nordic AB (publ) and changed its name to Embracer Group AB (publ) in October 2019. Embracer Group AB (publ) was founded in 1990 and is headquartered in Karlstad, Sweden.