LivePerson (NASDAQ:LPSN) & Bright Mountain Media (OTCMKTS:BMTM) Head to Head Comparison

LivePerson (NASDAQ:LPSN) and Bright Mountain Media (OTCMKTS:BMTM) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, dividends, profitability, valuation, institutional ownership, earnings and analyst recommendations.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for LivePerson and Bright Mountain Media, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LivePerson	1	0	0	0	1.00
Bright Mountain Media	0	0	0	0	0.00

Profitability

This table compares LivePerson and Bright Mountain Media’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
LivePerson	-26.24%	N/A	-6.13%
Bright Mountain Media	-19.53%	N/A	-29.92%

Insider & Institutional Ownership

79.8% of LivePerson shares are owned by institutional investors. 2.0% of LivePerson shares are owned by company insiders. Comparatively, 61.6% of Bright Mountain Media shares are owned by company 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.

Earnings and Valuation

This table compares LivePerson and Bright Mountain Media”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
LivePerson	$243.74 million	0.11	-$67.23 million	($13.05)	-0.17
Bright Mountain Media	$59.23 million	0.01	-$13.45 million	($0.07)	-0.06

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

Volatility & Risk

LivePerson has a beta of 1.38, indicating that its stock price is 38% more volatile than the S&P 500. Comparatively, Bright Mountain Media has a beta of 116.15, indicating that its stock price is 11,515% more volatile than the S&P 500.

Summary

Bright Mountain Media beats LivePerson on 6 of the 11 factors compared between the two stocks.

About LivePerson

LivePerson, Inc. engages in conversational artificial intelligence. It enables brands to leverage the Conversational Cloud's intelligence engine to connect with consumers through an integrated suite of mobile and online business messaging technologies. The company offers the Conversational Cloud, an enterprise-class digital customer conversation platform, which enables businesses and consumers to connect through conversational channels, such as voice, in-app, and mobile messaging. It also provides professional services; LivePerson's Conversational AI, including conversation builder, manager, and intelligence, and intent manager. In addition, it provides Voice AI, conversational intelligence and insights, and integration services. The company sells its products to Fortune 500 companies, Internet businesses, online merchants, automotive dealers, educational institution, public sector, and not-for-profit organizations. It operates in the United States, Canada, Latin America, South America, Europe, the Middle East, Africa, the United Kingdom, and the Asia-Pacific. LivePerson, Inc. was incorporated in 1995 and is headquartered in New York, New York.

About Bright Mountain Media

Bright Mountain Media, Inc. provides an end-to-end digital media and advertising services platform that connects brands with targeted consumer demographics in the United States and Israel. It focuses on digital publishing comprising websites, including Mom.com, Cafemom.com, LittleThings.com, and MamasLatinas.com; and advertising technology, consumer insights, creative, and media services. The company serves advertisers, advertising agencies and advertising service organizations. The company was formerly known as Bright Mountain Acquisition Corporation and changed its name to Bright Mountain Media, Inc. in December 2015. Bright Mountain Media, Inc. is based in Boca Raton, Florida.