Contrasting Uxin (NASDAQ:UXIN) and Marchex (NASDAQ:MCHX)

Marchex (NASDAQ:MCHX) and Uxin (NASDAQ:UXIN) are both small-cap computer and technology companies, but which is the better stock? We will compare the two businesses based on the strength of their earnings, valuation, profitability, analyst recommendations, institutional ownership, risk and dividends.

Volatility & Risk

Marchex has a beta of 2.05, suggesting that its stock price is 105% more volatile than the S&P 500. Comparatively, Uxin has a beta of 1.51, suggesting that its stock price is 51% more volatile than the S&P 500.

Profitability

This table compares Marchex and Uxin’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Marchex	-11.53%	-14.94%	-11.51%
Uxin	-10.66%	N/A	-8.15%

Analyst Ratings

This is a breakdown of recent recommendations for Marchex and Uxin, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Marchex	1	1	0	0	1.50
Uxin	1	0	1	0	2.00

Uxin has a consensus price target of $4.50, indicating a potential upside of 42.86%. Given Uxin’s stronger consensus rating and higher possible upside, analysts plainly believe Uxin is more favorable than Marchex.

Earnings & Valuation

This table compares Marchex and Uxin”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Marchex	$45.42 million	1.50	-$4.95 million	($0.11)	-14.00
Uxin	$190.40 million	3.11	-$11.18 million	($0.20)	-15.75

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

Insider & Institutional Ownership

73.5% of Marchex shares are owned by institutional investors. Comparatively, 22.4% of Uxin shares are owned by institutional investors. 23.5% of Marchex shares are owned by insiders. Comparatively, 62.9% of Uxin shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Uxin beats Marchex on 9 of the 14 factors compared between the two stocks.

About Marchex

Marchex, Inc., a conversation intelligence company, provides conversational analytics and related solutions in the United States, Canada, and internationally. Its products include Marketing Edge that identifies which campaigns and channels are driving inbound conversations, evaluates what happens during those conversations, and closes the sales loop by connecting converted sales to marketing driven leads; Sonar Business Text Messaging, an artificial intelligence (AI) empowered intelligent workflow enabled mobile messaging solution that enables operations, sales, and marketing teams to communicate personally with field staff, prospects, and customers; Marchex Platform Services, a robust API-based conversation intelligence product that allows executives, sales, customer engagement, and marketing teams to apply Marchex AI to most any calls, regardless of communication platform, in order to identify actionable insights from conversations with their customers; Spotlight, an AI conversation analytics product for multi-location businesses; and Engage, a solution that provides locations with applications to enhance their overall performance. The company was incorporated in 2003 and is headquartered in Seattle, Washington.

About Uxin

Uxin Limited, an investment holding company, engages in the retail sale of vehicles in China. The company operates an e-commerce platform for buying and selling used cars. It also offers used-car acquisition, inspection, reconditioning, warehousing, pre-sales and after-sales, and various car-related value-added products and services, as well as warranty and repair, delivery, and title transfers and vehicle registration services. Uxin Limited was incorporated in 2011 and is headquartered in Beijing, China.