Financial Comparison: Taitron Components (NASDAQ:TAIT) vs. GOME Retail (OTCMKTS:GMELY)

Taitron Components (NASDAQ:TAIT) and GOME Retail (OTCMKTS:GMELY) are both retail/wholesale companies, but which is the better business? We will compare the two businesses based on the strength of their risk, analyst recommendations, dividends, institutional ownership, profitability, valuation and earnings.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Taitron Components and GOME Retail, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Taitron Components	1	0	0	0	1.00
GOME Retail	0	0	0	0	0.00

Profitability

This table compares Taitron Components and GOME Retail’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Taitron Components	-15.92%	-4.12%	-3.81%
GOME Retail	N/A	N/A	N/A

Insider and Institutional Ownership

18.1% of Taitron Components shares are held by institutional investors. 60.0% of Taitron Components shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Taitron Components and GOME Retail”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Taitron Components	$4.14 million	3.81	$900,000.00	($0.11)	-23.82
GOME Retail	$65.91 million	N/A	-$1.62 billion	N/A	N/A

Taitron Components has higher earnings, but lower revenue than GOME Retail.

About Taitron Components

Taitron Components Incorporated engages in the supply of original designed and manufactured (ODM) electronic components, and distribution of brand name electronic components. It distributes discrete semiconductors, commodity integrated circuits, optoelectronic devices, and passive components. The company also offers value-added engineering and turn-key solutions focusing on providing contract electronic manufacturers (CEMs) and original equipment manufacturers (OEMs) with ODM products for their turn-key projects. It serves other electronic distributors, CEMs, and OEMs in the United States, South Korea, China, Taiwan, and internationally. The company has strategic allies with Teamforce Co. Ltd.; Grand Shine Management; and Zowie Technology Corporation. Taitron Components Incorporated was incorporated in 1989 and is headquartered in Valencia, California.

About GOME Retail

GOME Retail Holdings Limited, together with its subsidiaries, engages in the retail of electrical appliances, consumer electronic products, and general merchandise in the People's Republic of China. The company also sells its products online through self-operated and platform models. In addition, it is involved in the provision of logistics and procurement, storage and delivery, IT development, and business management services; retailing of mobile phones and accessories; and property holding activities. As of December 31, 2021, it operated 4,195 stores in 1,439 cities. The company was formerly known as GOME Electrical Appliances Holding Limited and changed its name to GOME Retail Holdings Limited in 2017. GOME Retail Holdings Limited was founded in 1987 and is headquartered in Central, Hong Kong.