Head-To-Head Analysis: PropertyGuru Group (NYSE:PGRU) and Autohome (NYSE:ATHM)

PropertyGuru Group (NYSE:PGRU) and Autohome (NYSE:ATHM) are both business services companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, institutional ownership, dividends, valuation, analyst recommendations, earnings and risk.

Earnings & Valuation

This table compares PropertyGuru Group and Autohome”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PropertyGuru Group	$111.81 million	9.76	-$11.37 million	($0.09)	-73.77
Autohome	$1.01 billion	3.26	$286.40 million	$2.01	13.56

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

Insider and Institutional Ownership

61.4% of PropertyGuru Group shares are held by institutional investors. Comparatively, 63.1% of Autohome shares are held by institutional investors. 3.9% of PropertyGuru Group shares are held by company insiders. Comparatively, 5.7% of Autohome shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings and target prices for PropertyGuru Group and Autohome, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PropertyGuru Group	0	1	1	0	2.50
Autohome	0	3	0	1	2.50

PropertyGuru Group presently has a consensus price target of $7.00, suggesting a potential upside of 5.42%. Autohome has a consensus price target of $28.00, suggesting a potential upside of 2.71%. Given PropertyGuru Group’s higher possible upside, research analysts clearly believe PropertyGuru Group is more favorable than Autohome.

Risk and Volatility

PropertyGuru Group has a beta of 0.36, meaning that its stock price is 64% less volatile than the S&P 500. Comparatively, Autohome has a beta of 0.18, meaning that its stock price is 82% less volatile than the S&P 500.

Profitability

This table compares PropertyGuru Group and Autohome’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PropertyGuru Group	-13.27%	-3.47%	-2.92%
Autohome	24.36%	7.79%	6.07%

Summary

Autohome beats PropertyGuru Group on 10 of the 14 factors compared between the two stocks.

About PropertyGuru Group

PropertyGuru Group Limited operates digital property classifieds marketplaces that connects homeowners and tenants with verified home service providers in Singapore, Vietnam, Malaysia, Thailand, and Indonesia. The company offers digital and marketing services for developers. It also offers data and sales process automation products. In addition, the company provides a range of data products and services for agents/agencies, property developers and valuers, and financial institution customers. It serves agents and developers to advertise residential and commercial properties for sale or rent to property seekers. PropertyGuru Group Limited was founded in 2007 and is based in Singapore.

About Autohome

Autohome Inc. operates as an online destination for automobile consumers in the People’s Republic of China. The company delivers interactive content and tools to automobile consumers through its three websites, autohome.com.cn, che168.com, and ttpai.cn on PCs, mobile devices, mobile applications, and mini apps. It provides media services, including automaker advertising services and regional marketing campaigns; and leads generation services comprising dealer subscription services, advertising services for individual dealers, and used automobile listing and other platform-based services. The company offers Autohome Mall, an online transaction platform; and online bidding platform for used automobiles, as well as collects commissions for facilitating transactions of auto-financing and insurance products on its platform. The company was formerly known as Sequel Limited and changed its name to Autohome Inc. in October 2011. Autohome Inc. was incorporated in 2008 and is headquartered in Beijing, the People’s Republic of China.