Head-To-Head Review: Wetouch Technology (NASDAQ:WETH) vs. Adobe (NASDAQ:ADBE)

Wetouch Technology (NASDAQ:WETH) and Adobe (NASDAQ:ADBE) are both computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, analyst recommendations, risk, valuation, profitability, institutional ownership and earnings.

Volatility & Risk

Wetouch Technology has a beta of -0.44, indicating that its share price is 144% less volatile than the S&P 500. Comparatively, Adobe has a beta of 1.51, indicating that its share price is 51% more volatile than the S&P 500.

Earnings & Valuation

This table compares Wetouch Technology and Adobe”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Wetouch Technology	$39.71 million	0.26	$8.26 million	N/A	N/A
Adobe	$21.51 billion	7.00	$5.56 billion	$15.63	22.70

Adobe has higher revenue and earnings than Wetouch Technology.

Analyst Recommendations

This is a breakdown of current ratings for Wetouch Technology and Adobe, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Wetouch Technology	0	0	0	0	0.00
Adobe	3	8	15	2	2.57

Adobe has a consensus target price of $467.5769, indicating a potential upside of 31.77%. Given Adobe’s stronger consensus rating and higher probable upside, analysts plainly believe Adobe is more favorable than Wetouch Technology.

Profitability

This table compares Wetouch Technology and Adobe’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Wetouch Technology	N/A	N/A	N/A
Adobe	30.39%	53.68%	24.17%

Institutional & Insider Ownership

81.8% of Adobe shares are held by institutional investors. 25.3% of Wetouch Technology shares are held by company insiders. Comparatively, 0.2% of Adobe shares are held 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.

Summary

Adobe beats Wetouch Technology on 12 of the 13 factors compared between the two stocks.

About Wetouch Technology

Wetouch Technology Inc. engages in the research, development, manufacture, sale, and servicing of medium to large sized projected capacitive touchscreens in the Peoples Republic of China, Taiwan, South Korea, and internationally. The company offers various touch panels, including glass-glass, which are primarily used in GPS/car entertainment panels in mid-size and luxury cars, industrial human-machine interface (HMI), financial and banking terminals, point of sale, and lottery machines; glass-film-film products that are used in GPS and entertainment panels, industrial HMI, financial and banking terminals, lottery, and gaming industry; plastic-glass for use in GPS/entertainment panels, motor vehicle GPS, smart home products, robots, and charging stations; and glass-films used in industrial HMI. Wetouch Technology Inc. was founded in 2011 and is based in Meishan, China.

About Adobe

Adobe Inc., together with its subsidiaries, operates as a diversified software company worldwide. It operates through three segments: Digital Media, Digital Experience, and Publishing and Advertising. The Digital Media segment offers products, services, and solutions that enable individuals, teams, and enterprises to create, publish, and promote content; and Document Cloud, a unified cloud-based document services platform. Its flagship product is Creative Cloud, a subscription service that allows members to access its creative products. This segment serves content creators, students, workers, marketers, educators, enthusiasts, and communicators. The Digital Experience segment provides an integrated platform and set of applications and services that enable brands and businesses to create, manage, execute, measure, monetize, and optimize customer experiences from analytics to commerce. This segment serves marketers, advertisers, agencies, publishers, merchandisers, merchants, web analysts, data scientists, developers, and executives across the C-suite. The Publishing and Advertising segment offers products and services, such as e-learning solutions, technical document publishing, web conferencing, document and forms platform, web application development, and high-end printing, as well as Advertising Cloud offerings. It also provides consulting, technical support, and learning services. The company offers its products and services directly to enterprise customers through its sales force and local field offices, as well as to end users through app stores and through its website at adobe.com. It also distributes products and services through distributors, value-added resellers, systems integrators, software vendors and developers, retailers, and original equipment manufacturers. The company was formerly known as Adobe Systems Incorporated and changed its name to Adobe Inc. in October 2018. Adobe Inc. was founded in 1982 and is headquartered in San Jose, California.