Baozun (NASDAQ:BZUN) versus T Stamp (NASDAQ:IDAI) Critical Contrast

Baozun (NASDAQ:BZUN) and T Stamp (NASDAQ:IDAI) are both small-cap computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, risk, valuation and analyst recommendations.

Insider and Institutional Ownership

47.3% of Baozun shares are owned by institutional investors. Comparatively, 16.3% of T Stamp shares are owned by institutional investors. 59.2% of Baozun shares are owned by insiders. Comparatively, 1.4% of T Stamp shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Baozun and T Stamp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Baozun	-2.10%	-3.28%	-1.47%
T Stamp	-316.25%	-290.04%	-147.07%

Valuation and Earnings

This table compares Baozun and T Stamp”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Baozun	$1.29 billion	0.12	-$18.68 million	($0.49)	-5.55
T Stamp	$3.08 million	4.42	-$10.60 million	($2.30)	-1.13

T Stamp has lower revenue, but higher earnings than Baozun. Baozun is trading at a lower price-to-earnings ratio than T Stamp, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current recommendations for Baozun and T Stamp, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Baozun	1	0	0	0	1.00
T Stamp	0	0	1	0	3.00

T Stamp has a consensus target price of $12.00, suggesting a potential upside of 361.54%. Given T Stamp’s stronger consensus rating and higher possible upside, analysts plainly believe T Stamp is more favorable than Baozun.

Risk & Volatility

Baozun has a beta of 0.37, suggesting that its share price is 63% less volatile than the S&P 500. Comparatively, T Stamp has a beta of 0.7, suggesting that its share price is 30% less volatile than the S&P 500.

About Baozun

Baozun Inc., through its subsidiaries, provides end-to-end e-commerce solutions to brand partners in the People’s Republic of China. The company operates through two segments, E-Commerce and Brand Management (BBM). The E-Commerce segment offers brands’ store operations, customer services and value-added services in logistics and supply chain management, IT, and digital marketing. The Brand Management segment provides brand management, strategic and tactic positioning, branding and marketing, retail and e-commerce operations, supply chain, and logistics and technology services. It serves brand partners in various categories, including apparel and accessories, appliances, electronics, home and furnishings, food and health products, beauty and cosmetics, fast moving consumer goods, mother and baby products, and automobiles. The company was formerly known as Baozun Cayman Inc. and changed its name to Baozun Inc. in March 2015. Baozun Inc. was founded in 2007 and is headquartered in Shanghai, the People’s Republic of China.

About T Stamp

T Stamp Inc. develops and markets identity authentication software solutions for government and enterprise partners, and peer-to-peer markets worldwide. It develops proprietary artificial intelligence-powered solutions, researching and leveraging machine learning, artificial intelligence, biometric science, cryptography, and data mining to deliver insightful identity and trust predictions that identify and defend against fraudulent identity attacks, protect sensitive user information, and extend the reach of digital services through global accessibility. It uses the Irreversibly Transformed Identity Token technology combined with a data architecture that can use one or multiple sources of biometric or other identifying data. The company also offers solutions for privacy and data protection, biometric multi-factor authentication, document validation, identity verification, geolocation, duplicate detection, age estimation, and biometric capture, as well as crypto security and compliance, and trusted message. It serves banking/fintech; humanitarian and development services; cryptocurrency and digital assets; biometrically secured email and digital communication; KYC/AML compliance; government and law enforcement; P2P transactions, social media, and sharing economy; and real estate, travel, and healthcare industries. T Stamp Inc. was incorporated in 2016 and is headquartered in Atlanta, Georgia.