Analyzing Clikia (OTCMKTS:CLKA) and GDS (NASDAQ:GDS)

GDS (NASDAQ:GDS) and Clikia (OTCMKTS:CLKA) are both business services companies, but which is the better investment? We will compare the two companies based on the strength of their risk, valuation, dividends, analyst recommendations, earnings, profitability and institutional ownership.

Earnings & Valuation

This table compares GDS and Clikia”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GDS	$10.53 billion	0.40	-$606.18 million	($3.21)	-6.86
Clikia	N/A	N/A	-$540,000.00	N/A	N/A

Clikia has lower revenue, but higher earnings than GDS.

Institutional and Insider Ownership

33.7% of GDS shares are owned by institutional investors. 8.0% of GDS shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares GDS and Clikia’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GDS	-39.96%	-9.10%	-2.33%
Clikia	N/A	N/A	N/A

Volatility and Risk

GDS has a beta of 0.23, meaning that its share price is 77% less volatile than the S&P 500. Comparatively, Clikia has a beta of 3, meaning that its share price is 200% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for GDS and Clikia, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GDS	0	1	3	1	3.00
Clikia	0	0	0	0	N/A

GDS presently has a consensus target price of $18.29, suggesting a potential downside of 16.99%. Given GDS’s higher possible upside, research analysts clearly believe GDS is more favorable than Clikia.

Summary

GDS beats Clikia on 6 of the 11 factors compared between the two stocks.

About GDS

GDS Holdings Limited, together with its subsidiaries, develops and operates data centers in the People's Republic of China. The company provides colocation services comprising critical facilities space, customer-available power, racks, and cooling; managed hosting services, including business continuity and disaster recovery, network management, data storage, system security, operating system, database, and server middleware services; managed cloud services; and consulting services. It serves cloud service providers, large Internet companies, financial institutions, telecommunications and IT service providers, and large domestic private sector and multinational corporations. GDS Holdings Limited was founded in 2001 and is headquartered in Shanghai, the People's Republic of China.

About Clikia

Clikia Corp., through its subsidiary, Maison Luxe LLC, engages in retailing luxury goods. It primarily focuses on offering fine timepieces and jewelry on wholesale and business-to-consumer basis. The company is based in Baton Rouge, Louisiana.