Critical Contrast: Hong Kong Television Network (OTCMKTS:HKTVY) vs. IMAX (NYSE:IMAX)

Hong Kong Television Network (OTCMKTS:HKTVY) and IMAX (NYSE:IMAX) are both small-cap consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, analyst recommendations, profitability, valuation, earnings, risk and institutional ownership.

Insider and Institutional Ownership

93.5% of IMAX shares are owned by institutional investors. 23.2% of IMAX shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Volatility and Risk

Hong Kong Television Network has a beta of -0.26, suggesting that its stock price is 126% less volatile than the S&P 500. Comparatively, IMAX has a beta of 0.81, suggesting that its stock price is 19% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations and price targets for Hong Kong Television Network and IMAX, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hong Kong Television Network	0	0	0	0	0.00
IMAX	1	1	8	1	2.82

IMAX has a consensus target price of $32.80, suggesting a potential upside of 30.26%. Given IMAX’s stronger consensus rating and higher probable upside, analysts plainly believe IMAX is more favorable than Hong Kong Television Network.

Profitability

This table compares Hong Kong Television Network and IMAX’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hong Kong Television Network	N/A	N/A	N/A
IMAX	9.04%	8.62%	3.89%

Earnings & Valuation

This table compares Hong Kong Television Network and IMAX”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hong Kong Television Network	$492.05 million	0.33	-$8.55 million	N/A	N/A
IMAX	$352.21 million	3.84	$26.06 million	$0.60	41.97

IMAX has lower revenue, but higher earnings than Hong Kong Television Network.

Summary

IMAX beats Hong Kong Television Network on 12 of the 13 factors compared between the two stocks.

About Hong Kong Television Network

Hong Kong Technology Venture Company Limited, together with its subsidiaries, engages in the ecommerce and technology businesses in Hong Kong. The company is involved in the online shopping mall operation, multimedia production, and other related services; and research and development, and provision of technology solutions as a service, such as digital retailing and retail store automation. It also invests in properties; and offers software design, multimedia production and distribution, logistic and delivery, automated retail store, retail technology solution, and warehouse management and fulfilment services. The company was formerly known as Hong Kong Television Network Limited and changed its name to Hong Kong Technology Venture Company Limited in July 2021. Hong Kong Technology Venture Company Limited was incorporated in 1992 and is headquartered In Tseung Kwan O, Hong Kong.

About IMAX

IMAX Corporation, together with its subsidiaries, operates as a technology platform for entertainment and events worldwide. The company operates in two segments, Content Solutions and Technology Products and Services. The company offers IMAX DMR, a proprietary technology that digitally remasters films and other content into IMAX formats for distribution to the IMAX network; IMAX Enhanced that provides end-to-end technology across streaming content and entertainment devices at home; and SSIMWAVE, an AI-driven video quality solutions for media and entertainment companies. It also offers preventative and emergency maintenance services and quality monitoring to the IMAX network; film post-production services; and IMAX film and digital cameras to content creators. In addition, the company engages in the distribution of large-format documentary films to institutional theaters, as well as live performances and interactive events with artists and creators; after-market sales of IMAX System parts and 3D glasses; sale or lease of IMAX theater systems; provision of management services to three other theaters, as well as production advice and technical assistance to documentary and Hollywood filmmakers; and rental of company’s proprietary 2D and 3D large-format film cameras. The company markets its theater systems through a direct sales force and marketing staff to science and natural history museums, zoos, aquaria, and other educational and cultural centers, as well as theme parks, private home theaters, tourist destination sites, fairs, and expositions. It offers its services under the IMAX, IMAX 3D, Experience It In IMAX, The IMAX Experience, DMR, Filmed For IMAXTM, IMAX Live, IMAX Enhanced, and SSIMWAVE. The company operates a network of IMAX systems comprising commercial multiplexes, commercial destinations, and institutional locations in 90 countries and territories. IMAX Corporation was founded in 1967 and is headquartered in Mississauga, Canada.