Bilibili (NASDAQ:BILI) and CooTek (Cayman) (NYSE:CTK) Critical Review

Bilibili (NASDAQ:BILI – Get Rating) and CooTek (Cayman) (NYSE:CTK – Get Rating) are both computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their earnings, dividends, valuation, analyst recommendations, institutional ownership, risk and profitability.

Insider and Institutional Ownership

20.3% of Bilibili shares are held by institutional investors. 22.2% of Bilibili shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations for Bilibili and CooTek (Cayman), as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bilibili	0	5	5	0	2.50
CooTek (Cayman)	0	0	0	0	N/A

Bilibili currently has a consensus price target of $23.28, suggesting a potential upside of 7.62%. Given Bilibili’s higher possible upside, research analysts clearly believe Bilibili is more favorable than CooTek (Cayman).

Profitability

This table compares Bilibili and CooTek (Cayman)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bilibili	-34.55%	-42.58%	-16.00%
CooTek (Cayman)	N/A	N/A	N/A

Valuation & Earnings

This table compares Bilibili and CooTek (Cayman)’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bilibili	$3.18 billion	2.66	-$1.09 billion	($2.84)	-7.62
CooTek (Cayman)	$272.15 million	0.01	-$13.88 million	($2.86)	-0.15

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

Summary

Bilibili beats CooTek (Cayman) on 7 of the 12 factors compared between the two stocks.

About Bilibili

(Get Rating)

Bilibili, Inc. is a holding company, which represents the iconic brand of online entertainment for young generations in China. It offers a wide array of content serving young generations’ diverse interests. The firm enables broad video-based content consumption scenarios centered around professional user generated videos (PUGV) supplemented with live broadcasting, occupationally generated videos, or occupationally generated videos (OGV), and more. The company was founded by Xu Yi in June 2009 and is headquartered Shanghai, China.

About CooTek (Cayman)

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CooTek (Cayman) Inc. operates as a mobile internet company in the United States, the People's Republic of China, the United States, and internationally. Its primary product is TouchPal Smart Input, an input method for mobile devices that supports approximately 110 languages. The company also offers Fengdu Novel, a mobile application that provides users with free online novels; Fengdu Audiobooks; and short video series based on Fengdu Literature Platform content and IP resources. In addition, it provides casual games, including simulation games, such as Farm Hero and Idle Land King Tycoon; puzzle games comprising Hi Hamster; and educational games, such as Puzzle No. 1 and Idiom Hero. Further, the company offers fitness applications comprising Walk Walk; Drink Water Reminder that helps users drink an appropriate amount of water on a daily basis; Happy Jogging, a free pedometer mobile application; and Hailaidian, a mobile application that provides pictures, videos, and music to decorate the call interface and help users have fun when receiving phone calls. It distributes its products and acquires users primarily through user downloads from digital distribution platforms and pre-installations on mobile devices. CooTek (Cayman) Inc. was founded in 2008 and is headquartered in Shanghai, the People's Republic of China.