Analyzing Metalpha Technology (NASDAQ:MATH) & Sohu.com (NASDAQ:SOHU)

Metalpha Technology (NASDAQ:MATH) and Sohu.com (NASDAQ:SOHU) are both small-cap computer and technology companies, but which is the better business? We will compare the two businesses based on the strength of their earnings, dividends, valuation, institutional ownership, profitability, risk and analyst recommendations.

Institutional and Insider Ownership

30.5% of Metalpha Technology shares are held by institutional investors. Comparatively, 33.0% of Sohu.com shares are held by institutional investors. 5.9% of Metalpha Technology shares are held by company insiders. Comparatively, 21.1% of Sohu.com shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Metalpha Technology and Sohu.com”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Metalpha Technology	$44.57 million	1.13	$15.90 million	N/A	N/A
Sohu.com	$584.33 million	0.69	$394.10 million	$14.08	1.10

Sohu.com has higher revenue and earnings than Metalpha Technology.

Analyst Ratings

This is a summary of recent recommendations and price targets for Metalpha Technology and Sohu.com, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Metalpha Technology	1	0	0	0	1.00
Sohu.com	0	1	2	0	2.67

Sohu.com has a consensus target price of $20.00, suggesting a potential upside of 29.03%. Given Sohu.com’s stronger consensus rating and higher probable upside, analysts plainly believe Sohu.com is more favorable than Metalpha Technology.

Profitability

This table compares Metalpha Technology and Sohu.com’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Metalpha Technology	N/A	N/A	N/A
Sohu.com	67.44%	20.67%	13.84%

Risk and Volatility

Metalpha Technology has a beta of -0.68, suggesting that its share price is 168% less volatile than the S&P 500. Comparatively, Sohu.com has a beta of 0.52, suggesting that its share price is 48% less volatile than the S&P 500.

Summary

Sohu.com beats Metalpha Technology on 11 of the 12 factors compared between the two stocks.

About Metalpha Technology

Metalpha Technology Holding Limited, together with its subsidiaries, provides wealth management services in Hong Kong. The company offers digital asset-based wealth management services, which include issuing traditional financial and cryptocurrency derivative products to over-the-counter clients, providing crypto derivative market making services, and proprietary trading of digital assets and crypto derivative products; and securities advising and asset management services. It serves institutional investors and high-net-worth individuals. The company was formerly known as Dragon Victory International Limited and changed its name to Metalpha Technology Holding Limited in November 2022. The company was incorporated in 2015 and is headquartered in Wan Chai, Hong Kong.

About Sohu.com

Sohu.com Limited engages in the provision of online media, video, and game products and services on personal computers (PCs) and mobile devices in China. It operates through two segments: Sohu and Changyou. The company offers online news, information, and content services through the mobile phone application Sohu News APP, mobile portal m.sohu.com, and www.sohu.com for PCs; and online video content and services through mobile phone application Sohu Video APP and tv.sohu.com, as well as ifox, a video application for PC. It also operates Focus (www.focus.cn), which provides online real estate information and services; and 17173.com website, which provides news, electronic forums, online videos, and other online game information services to game players, as well as offers mobile game distribution services. In addition, the company offers interactive online games for PCs and mobile devices. Further, it provides paid subscription and interactive broadcasting services. The company was incorporated in 1996 and is headquartered in Beijing, China.