Reviewing Bilibili (NASDAQ:BILI) & Cars.com (NYSE:CARS)

Bilibili (NASDAQ:BILI) and Cars.com (NYSE:CARS) are both computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, risk, valuation, profitability, dividends and earnings.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Bilibili and Cars.com, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bilibili	0	5	4	0	2.44
Cars.com	0	2	2	0	2.50

Bilibili presently has a consensus price target of $17.01, indicating a potential upside of 27.05%. Cars.com has a consensus price target of $22.25, indicating a potential upside of 25.99%. Given Bilibili’s higher possible upside, research analysts clearly believe Bilibili is more favorable than Cars.com.

Risk & Volatility

Bilibili has a beta of 0.85, suggesting that its stock price is 15% less volatile than the S&P 500. Comparatively, Cars.com has a beta of 2.21, suggesting that its stock price is 121% more volatile than the S&P 500.

Profitability

This table compares Bilibili and Cars.com’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bilibili	-21.41%	-26.46%	-12.07%
Cars.com	15.34%	22.28%	9.57%

Earnings and Valuation

This table compares Bilibili and Cars.com’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bilibili	$23.12 billion	0.24	-$679.21 million	($1.67)	-8.02
Cars.com	$702.29 million	1.66	$118.44 million	$1.57	11.25

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

Institutional & Insider Ownership

16.1% of Bilibili shares are owned by institutional investors. Comparatively, 89.2% of Cars.com shares are owned by institutional investors. 22.2% of Bilibili shares are owned by company insiders. Comparatively, 2.1% of Cars.com shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

Cars.com beats Bilibili on 10 of the 14 factors compared between the two stocks.

About Bilibili

Bilibili Inc. provides online entertainment services for the young generations in the People's Republic of China. It offers a range of digital content, including professional user generated videos, mobile games, and value-added services, such as live broadcasting, occupationally generated videos, audio drama on Maoer, and comics on Bilibili Comic. The company also provides advertising services; and IP derivatives and other services. In addition, it engages in the business and technology development activities; e-commerce business; and video, comics, and game distribution activities. Bilibili Inc. was founded in 2009 and is headquartered in Shanghai, the People's Republic of China.

About Cars.com

Cars.com Inc., through its subsidiaries, operates as a digital automotive marketplace that connects local car dealers to consumers in the United States. The company offers a suite of digital solutions that creates connections between individuals researching cars or looking to purchase a car with car dealerships and automotive original equipment manufacturers. It also sells online subscription advertising products to car dealerships by its direct sales force, as well as through its affiliate sales channel. In addition, the company sells display advertising to national advertisers. Further, it offers online automotive marketplace service that connects buyers and sellers through Cars.com, Auto.com, DealerRater.com, NewCars.com, PickupTrucks.com, DealerInspire.com, and LaunchDigitalMarketing.com Websites. Its platform hosts approximately 4.9 million new and used vehicle listings and serves approximately 20,000 franchise and independent car dealers. Cars.com Inc. was founded in 1998 and is headquartered in Chicago, Illinois.