Comparing Next Technology (NASDAQ:NXTT) and Brightcove (NASDAQ:BCOV)

Next Technology (NASDAQ:NXTT) and Brightcove (NASDAQ:BCOV) are both small-cap computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, earnings, dividends, analyst recommendations, risk, valuation and institutional ownership.

Valuation and Earnings

This table compares Next Technology and Brightcove’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Next Technology	$2.63 million	4.35	-$9.92 million	N/A	N/A
Brightcove	$201.19 million	0.51	-$22.89 million	($0.22)	-10.55

Next Technology has higher earnings, but lower revenue than Brightcove.

Risk & Volatility

Next Technology has a beta of 2.14, suggesting that its share price is 114% more volatile than the S&P 500. Comparatively, Brightcove has a beta of 0.74, suggesting that its share price is 26% less volatile than the S&P 500.

Profitability

This table compares Next Technology and Brightcove’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Next Technology	N/A	68.67%	63.83%
Brightcove	-4.74%	-7.87%	-3.39%

Insider and Institutional Ownership

2.7% of Next Technology shares are held by institutional investors. Comparatively, 80.1% of Brightcove shares are held by institutional investors. 37.5% of Next Technology shares are held by insiders. Comparatively, 4.2% of Brightcove shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Next Technology and Brightcove, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Next Technology	0	0	0	0	N/A
Brightcove	0	1	1	0	2.50

Brightcove has a consensus price target of $4.00, suggesting a potential upside of 72.41%. Given Brightcove’s higher probable upside, analysts plainly believe Brightcove is more favorable than Next Technology.

Summary

Next Technology beats Brightcove on 7 of the 11 factors compared between the two stocks.

About Next Technology

Next Technology Holding Inc. provides technical services and solutions through its social e-commerce platform primarily in Mainland China. It offers YCloud, a micro-business cloud intelligent internationalization system that conducts multi-channel data analysis through the learning of big data and social recommendation relationships, as well as provides users with AI fission and management systems, and supply chain systems. The company's YCloud system also provides micro-business owners with various payment methods, such as Alipay, WeChat, and UnionPay. In addition, it offers chatGPT technical services; and technical system support, software development, and services. The company serves individual and corporate users in the micro business industry. It also has operations in Hong Kong and Singapore. The company was formerly known as WeTrade Group, Inc. and changed its name to Next Technology Holding Inc in April 2024. Next Technology Holding Inc. was incorporated in 2019 and is headquartered in Beijing, the People Republic of China.

About Brightcove

Brightcove Inc. provides cloud-based streaming services the Americas, Europe, the Asia Pacific, Japan, India, and the Middle East. It offers Video Cloud, an online video streaming platform that enables its customers to publish, deliver, and distribute high-quality video to internet-connected devices. The company's solutions and products comprise Brightcove Marketing Studio, a video streaming solution; Brightcove Communications Studio for marketers and corporate communications professionals; Brightcove Media Studio, a solution for over-the-top (OTT) video services, media publishers, and leading broadcasters to monetize their media, live stream at scale, and nurture their audience lifecycle; Brightcove Audience Insights, a customer data platform for video streaming businesses; Zencoder, a cloud-based video encoding service; and Brightcove Beacon, a platform that enables its customers to launch premium OTT video streaming experiences, as well as Brightcove Marketplace. It also provides ad monetization; professional; customer success, support, and documentation; online and onsite training; and video.js and developer solutions. The company serves media companies, broadcasters, digital publishers, sports and entertainment companies, fashion and hospitality brands, faith-based institutions, retail and e-commerce businesses, and technology organizations, as well as government agencies, educational institutions, and non-profit organizations. Brightcove Inc. was incorporated in 2004 and is headquartered in Boston, Massachusetts.