Critical Analysis: VanEck Biotech ETF (NASDAQ:BBH) versus The Gabelli Multimedia Trust (NYSE:GGT)

VanEck Biotech ETF (NASDAQ:BBH) and The Gabelli Multimedia Trust (NYSE:GGT) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their risk, institutional ownership, profitability, earnings, dividends, valuation and analyst recommendations.

Analyst Ratings

This is a breakdown of recent ratings for VanEck Biotech ETF and The Gabelli Multimedia Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
VanEck Biotech ETF	0	4	2	0	2.65
The Gabelli Multimedia Trust	0	0	0	0	0.00

VanEck Biotech ETF presently has a consensus price target of $156.97, indicating a potential upside of 0.00%. Given VanEck Biotech ETF’s stronger consensus rating and higher probable upside, research analysts plainly believe VanEck Biotech ETF is more favorable than The Gabelli Multimedia Trust.

Earnings and Valuation

This table compares VanEck Biotech ETF and The Gabelli Multimedia Trust”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
VanEck Biotech ETF	N/A	N/A	N/A	N/A	N/A
The Gabelli Multimedia Trust	$7.58 million	16.63	N/A	N/A	N/A

Profitability

This table compares VanEck Biotech ETF and The Gabelli Multimedia Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
VanEck Biotech ETF	N/A	N/A	N/A
The Gabelli Multimedia Trust	N/A	N/A	N/A

Institutional & Insider Ownership

32.0% of VanEck Biotech ETF shares are owned by institutional investors. Comparatively, 10.6% of The Gabelli Multimedia Trust shares are owned by institutional investors. 9.6% of The Gabelli Multimedia Trust shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Dividends

VanEck Biotech ETF pays an annual dividend of $1.25 per share and has a dividend yield of 0.8%. The Gabelli Multimedia Trust pays an annual dividend of $0.88 per share and has a dividend yield of 19.7%.

Risk and Volatility

VanEck Biotech ETF has a beta of 0.85, suggesting that its share price is 15% less volatile than the S&P 500. Comparatively, The Gabelli Multimedia Trust has a beta of 1.21, suggesting that its share price is 21% more volatile than the S&P 500.

About VanEck Biotech ETF

The BIOTECH HOLDING COMPANY DEPOSITARY RECEIPTS or HOLDRS TRUST was formed under the depositary trust agreement, among The Bank of New York, as trustee, Merrill Lynch, Pierce, Fenner & Smith Incorporated, other depositors and the owners of the Biotech HOLDRS. The trust currently holds shares of common stock or American depositary shares issued by a group of companies that were, at the time of the initial offering, generally considered to be involved in various segments of thebiotechnology industry.

About The Gabelli Multimedia Trust

The Gabelli Multimedia Trust Inc. is a closed-ended equity mutual fund launched by GAMCO Investors, Inc. It is managed by Gabelli Funds LLC. The fund invests in the public equity markets across the globe. It invests in stocks, convertible securities, preferred stock, options, and warrants of companies operating across global telecommunications, media, publishing, and entertainment industries. The fund also invests in companies participating in emerging technological advances in interactive services and products. It invests in stocks of companies across market capitalizations. The fund benchmarks the performance of its portfolio against the S&P 500 Index and MSCI World Free Index. It was formerly known as Gabelli Global Multimedia Trust Inc. The Gabelli Multimedia Trust Inc. was formed on November 15, 1994 and is domiciled in the United States.