Comparing Haoxi Health Technology (NASDAQ:HAO) and PubMatic (NASDAQ:PUBM)

PubMatic (NASDAQ:PUBM) and Haoxi Health Technology (NASDAQ:HAO) are both small-cap communication services companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, profitability, valuation, dividends, analyst recommendations and risk.

Institutional & Insider Ownership

64.3% of PubMatic shares are held by institutional investors. 27.8% of PubMatic shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares PubMatic and Haoxi Health Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PubMatic	-4.66%	-5.41%	-1.99%
Haoxi Health Technology	N/A	N/A	N/A

Volatility and Risk

PubMatic has a beta of 1.54, indicating that its stock price is 54% more volatile than the S&P 500. Comparatively, Haoxi Health Technology has a beta of -1.13, indicating that its stock price is 213% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current recommendations for PubMatic and Haoxi Health Technology, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PubMatic	1	1	10	0	2.75
Haoxi Health Technology	1	0	0	0	1.00

PubMatic presently has a consensus target price of $18.25, suggesting a potential upside of 11.62%. Given PubMatic’s stronger consensus rating and higher probable upside, analysts clearly believe PubMatic is more favorable than Haoxi Health Technology.

Valuation and Earnings

This table compares PubMatic and Haoxi Health Technology”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PubMatic	$289.17 million	2.58	-$14.46 million	($0.30)	-54.50
Haoxi Health Technology	$32.80 million	0.04	$3.88 million	N/A	N/A

Haoxi Health Technology has lower revenue, but higher earnings than PubMatic.

Summary

PubMatic beats Haoxi Health Technology on 8 of the 12 factors compared between the two stocks.

About PubMatic

PubMatic, Inc., a technology company, engages in the provision of a cloud infrastructure platform that enables real-time programmatic advertising transactions for digital content creators, advertisers, agencies, agency trading desks, and demand side platforms worldwide. Its PubMatic SSP, a sell-side platform, used for the purchase and sale of digital advertising inventory for publishers and buyers. The company also provides solutions, including OpenWrap, a header bidding solution; Openwrap OTT, a prebid-powered unified bidding solution; Openwrap SDK, an enterprise-grade management tools and analytics; Connect, a solution that provides additional data and insights to publishers and buyers; Activate, which allows buyers to execute direct deals on its platform across publisher inventory; Convert, a commerce media solution; and Identity Hub, an ID management tool for publishers that leverages specialized technology?infrastructure?to simplify the complex alternative identifier marketplace. Its platform supports an array of ad formats and digital device types, including mobile app, mobile web, desktop, display, video, over-the-top (OTT), connected television, and media. The company was incorporated in 2006 and is based in Redwood City, California.

About Haoxi Health Technology

Haoxi Health Technology Limited, through its subsidiaries, provides online marketing solutions in China. It offers online marketing solutions, including online short video marketing solutions to advertisers through its media partners; and customized marketing solutions by planning, producing, placing, and optimizing online ads to help advertisers acquire, convert, and retain consumers on various online media platforms. The company places its ads through mainstream online short video and social media platforms, such as Toutiao, Douyin, WeChat, and Sina Weibo. It serves advertiser client base primarily in the healthcare industry. The company was founded in 2018 and is based in Beijing, China.