Contrasting Cango (NYSE:CANG) & CyberAgent (OTCMKTS:CYGIY)

CyberAgent (OTCMKTS:CYGIY) and Cango (NYSE:CANG) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their risk, dividends, earnings, profitability, valuation, analyst recommendations and institutional ownership.

Analyst Ratings

This is a breakdown of recent ratings and target prices for CyberAgent and Cango, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CyberAgent	0	0	0	0	0.00
Cango	2	0	1	1	2.25

Cango has a consensus price target of $3.00, suggesting a potential upside of 689.47%. Given Cango’s stronger consensus rating and higher probable upside, analysts plainly believe Cango is more favorable than CyberAgent.

Insider and Institutional Ownership

4.2% of Cango shares are owned by institutional investors. 29.1% of Cango shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

CyberAgent has a beta of 0.61, suggesting that its share price is 39% less volatile than the S&P 500. Comparatively, Cango has a beta of 0.71, suggesting that its share price is 29% less volatile than the S&P 500.

Profitability

This table compares CyberAgent and Cango’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CyberAgent	4.31%	16.76%	8.48%
Cango	-83.92%	-49.13%	-24.42%

Valuation and Earnings

This table compares CyberAgent and Cango”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CyberAgent	$5.86 billion	0.81	$212.18 million	$0.25	18.80
Cango	$688.08 million	0.11	-$621.95 million	($2.97)	-0.13

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

Summary

CyberAgent beats Cango on 8 of the 15 factors compared between the two stocks.

About CyberAgent

CyberAgent, Inc. engages in the media, internet advertising, game, and investment development businesses primarily in Japan. The company operates Ameba, a blog service; Tapple for online dating; AWA, a music streaming service; and WinTicket for online betting. It also offers internet advertising agency and ad technology services; and smartphone games. In addition, the company operates a programming school for kids and provides application and reward points exchange platform services; artificial intelligence services; and digital transformation services. CyberAgent, Inc. was incorporated in 1998 and is headquartered in Tokyo, Japan.

About Cango

Cango Inc. operates an automotive transaction service platform that connects dealers, original equipment manufacturers, financial institutions, car buyers, insurance brokers, and companies in the People's Republic of China. The company offers automobile trading solutions comprising car sourcing, transaction facilitation, logistics, and warehousing support for dealers through Cango Haoche app that offers new car transaction services, and Cango U-Car app that offers used-car transaction services. It also provides automotive financing facilitation services that include facilitating financing transactions from financial institutions to car buyers, which comprises credit origination, credit assessment, credit servicing, and delinquent asset management services; facilitating financing transactions of car purchases for car buyers; and after-market services to car buyers, which includes facilitating the sale of insurance policies from insurance brokers or companies. The company was founded in 2010 and is headquartered in Shanghai, the People's Republic of China.