Head-To-Head Contrast: GD Culture Group (NASDAQ:GDC) & Sohu.com (NASDAQ:SOHU)

Sohu.com (NASDAQ:SOHU) and GD Culture Group (NASDAQ:GDC) are both small-cap computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, risk, profitability, institutional ownership, earnings and dividends.

Analyst Recommendations

This is a summary of recent recommendations for Sohu.com and GD Culture Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sohu.com	0	0	1	0	3.00
GD Culture Group	0	0	0	0	N/A

Sohu.com currently has a consensus price target of $20.00, indicating a potential upside of 89.93%. Given Sohu.com’s higher probable upside, equities analysts clearly believe Sohu.com is more favorable than GD Culture Group.

Earnings and Valuation

This table compares Sohu.com and GD Culture Group’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sohu.com	$733.87 million	0.48	-$17.34 million	($1.99)	-5.29
GD Culture Group	$150,000.00	83.37	-$30.82 million	N/A	N/A

Sohu.com has higher revenue and earnings than GD Culture Group.

Insider and Institutional Ownership

35.1% of Sohu.com shares are owned by institutional investors. Comparatively, 1.3% of GD Culture Group shares are owned by institutional investors. 21.1% of Sohu.com shares are owned by company insiders. Comparatively, 16.3% of GD Culture Group shares are owned by company 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.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Sohu.com	-10.28%	-5.52%	-3.09%
GD Culture Group	N/A	268.64%	220.06%

Risk & Volatility

Sohu.com has a beta of 1.43, meaning that its stock price is 43% more volatile than the S&P 500. Comparatively, GD Culture Group has a beta of 1.17, meaning that its stock price is 17% more volatile than the S&P 500.

Summary

Sohu.com beats GD Culture Group on 7 of the 11 factors compared between the two stocks.

About Sohu.com

Sohu.com Limited provides online media, video, and game products and services on PCs and mobile devices in China. 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.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 online games for PCs and mobile devices. Further, the company provides paid subscription services, interactive broadcasting services, and sub-licensing of purchased video content to third parties. Sohu.com Limited was incorporated in 1996 and is headquartered in Beijing, China.

About GD Culture Group

GD Culture Group Limited operates as an integrated marketing service agency. The company focuses on enterprise brand management, crisis public relations, intelligent public opinion monitoring, media PR, financial and economic we-media operation, digital face application, exhibition services, and other businesses. It also publishes books in corporate history, finance, and economics, as well as plans and organizes online and offline activities, such as new book launches and book sharing sessions to promote new books and build influence and reputation for the corporate clients. The company was formerly known as Code Chain New Continent Limited and changed its name to GD Culture Group Limited in January 2023. GD Culture Group Limited is based in Wan Chai, Hong Kong.