Head to Head Survey: HeartCore Enterprises (NASDAQ:HTCR) and Autohome (NYSE:ATHM)

HeartCore Enterprises (NASDAQ:HTCR) and Autohome (NYSE:ATHM) are both computer and technology companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, risk, institutional ownership, dividends, profitability, earnings and valuation.

Volatility and Risk

HeartCore Enterprises has a beta of 1.7, meaning that its stock price is 70% more volatile than the S&P 500. Comparatively, Autohome has a beta of 0.18, meaning that its stock price is 82% less volatile than the S&P 500.

Valuation and Earnings

This table compares HeartCore Enterprises and Autohome”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HeartCore Enterprises	$30.29 million	0.93	-$4.19 million	$0.24	5.58
Autohome	$964.42 million	3.76	$286.40 million	$1.85	16.18

Autohome has higher revenue and earnings than HeartCore Enterprises. HeartCore Enterprises is trading at a lower price-to-earnings ratio than Autohome, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares HeartCore Enterprises and Autohome’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HeartCore Enterprises	16.25%	65.33%	22.92%
Autohome	23.02%	7.70%	6.05%

Analyst Ratings

This is a summary of recent ratings and target prices for HeartCore Enterprises and Autohome, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HeartCore Enterprises	0	0	0	0	0.00
Autohome	0	4	0	1	2.40

Autohome has a consensus price target of $28.00, indicating a potential downside of 6.46%. Given Autohome’s stronger consensus rating and higher probable upside, analysts clearly believe Autohome is more favorable than HeartCore Enterprises.

Dividends

HeartCore Enterprises pays an annual dividend of $0.04 per share and has a dividend yield of 3.0%. Autohome pays an annual dividend of $1.68 per share and has a dividend yield of 5.6%. HeartCore Enterprises pays out 16.7% of its earnings in the form of a dividend. Autohome pays out 90.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Institutional and Insider Ownership

1.7% of HeartCore Enterprises shares are owned by institutional investors. Comparatively, 63.1% of Autohome shares are owned by institutional investors. 64.2% of HeartCore Enterprises shares are owned by insiders. Comparatively, 5.7% of Autohome shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Autohome beats HeartCore Enterprises on 11 of the 16 factors compared between the two stocks.

About HeartCore Enterprises

HeartCore Enterprises, Inc., a software development company, provides Software as a Service solutions to enterprise customers in Japan and internationally. Its customer experience management platform includes marketing, sales, service, and content management systems, as well as other tools and integrations, which enable companies to enhance the customer experience and drive engagement. The company also operates a digital transformation business that offers customers with robotics process automation, process mining, and task mining to accelerate the digital transformation of enterprises. In addition, it provides consulting services; and education, services, and support solutions. The company was founded in 2009 and is headquartered in Tokyo, Japan.

About Autohome

Autohome Inc. operates as an online destination for automobile consumers in the People’s Republic of China. The company delivers interactive content and tools to automobile consumers through its three websites, autohome.com.cn, che168.com, and ttpai.cn on PCs, mobile devices, mobile applications, and mini apps. It provides media services, including automaker advertising services and regional marketing campaigns; and leads generation services comprising dealer subscription services, advertising services for individual dealers, and used automobile listing and other platform-based services. The company offers Autohome Mall, an online transaction platform; and online bidding platform for used automobiles, as well as collects commissions for facilitating transactions of auto-financing and insurance products on its platform. The company was formerly known as Sequel Limited and changed its name to Autohome Inc. in October 2011. Autohome Inc. was incorporated in 2008 and is headquartered in Beijing, the People’s Republic of China.