Head-To-Head Review: Rubicon Technologies (NYSE:RBT) vs. Agora (NASDAQ:API)

Rubicon Technologies (NYSE:RBT) and Agora (NASDAQ:API) are both small-cap business services companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, valuation, analyst recommendations, dividends, institutional ownership, risk and earnings.

Insider and Institutional Ownership

40.8% of Rubicon Technologies shares are held by institutional investors. Comparatively, 40.4% of Agora shares are held by institutional investors. 1.9% of Rubicon Technologies shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Volatility & Risk

Rubicon Technologies has a beta of 1.5, meaning that its share price is 50% more volatile than the S&P 500. Comparatively, Agora has a beta of 0.01, meaning that its share price is 99% less volatile than the S&P 500.

Profitability

This table compares Rubicon Technologies and Agora’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rubicon Technologies	-10.44%	N/A	-33.50%
Agora	-57.83%	-13.09%	-11.75%

Earnings & Valuation

This table compares Rubicon Technologies and Agora’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rubicon Technologies	$697.58 million	0.00	-$56.94 million	($2.49)	N/A
Agora	$141.54 million	1.53	-$87.22 million	($0.81)	-2.90

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

Analyst Ratings

This is a breakdown of recent ratings and price targets for Rubicon Technologies and Agora, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rubicon Technologies	0	1	1	0	2.50
Agora	0	1	0	0	2.00

Rubicon Technologies currently has a consensus target price of $0.60, indicating a potential upside of ∞. Agora has a consensus target price of $3.20, indicating a potential upside of 36.17%. Given Rubicon Technologies’ stronger consensus rating and higher probable upside, equities analysts plainly believe Rubicon Technologies is more favorable than Agora.

Summary

Rubicon Technologies beats Agora on 11 of the 13 factors compared between the two stocks.

About Rubicon Technologies

Rubicon Technologies, Inc., a digital marketplace for waste and recycling services, provides cloud-based waste and recycling solutions to businesses, governments, and organizations worldwide. The company provides solutions for waste generators; and haulers and recyclers. It offers consultation and management services to customers for waste removal, waste management, logistics, and recycling solutions. Its consultation and management services include planning, consolidation of billing and administration, cost savings analyses, and vendor performance monitoring and management. In addition, the company offers logistics services; and markets and resells recyclable commodities. Rubicon Technologies, Inc. was founded in 2008 and is headquartered in Atlanta, Georgia.

About Agora

Agora, Inc. operates in real-time engagement technology business in the People's Republic of China, the United States, and internationally. The company offers real-time engagement platform-as-a-services providing developers with application programming interfaces to embed real-time voice, video, interactive live-streaming, chat, whiteboard, and artificial intelligence capabilities into their applications. It also provides video and voice calling, interactive live and broadcast streaming, chat, signaling, and interactive whiteboard products; and extensions, such as analytics, recording, AI noise suppression, 3D spatial audio, real-time transcription, and extensions marketplace. In addition, the company offers Application Platforms, including Flexible Classroom, a low-code application Platform as a Service, which combines video, voice, chat, signaling, whiteboard and recording functionalities into an integrated cloud-based solution for education providers; and App Builder, a no-code application platform, designed for developers with little or no coding experience to build their own applications with video conference and live streaming functionalities. It operates through Agora and Shengwang brands. Agora, Inc. was incorporated in 2013 and is headquartered in Santa Clara, California.