Code Rebel (OTCMKTS:CDRBQ) and LivePerson (NASDAQ:LPSN) Critical Review

LivePerson (NASDAQ:LPSN) and Code Rebel (OTCMKTS:CDRBQ) are both computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, earnings, valuation, dividends, institutional ownership, profitability and risk.

Institutional and Insider Ownership

79.8% of LivePerson shares are held by institutional investors. 9.0% of LivePerson shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility and Risk

LivePerson has a beta of 1.51, indicating that its share price is 51% more volatile than the S&P 500. Comparatively, Code Rebel has a beta of -16.58, indicating that its share price is 1,758% less volatile than the S&P 500.

Earnings & Valuation

This table compares LivePerson and Code Rebel”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
LivePerson	$312.47 million	0.28	-$100.43 million	($2.32)	-0.42
Code Rebel	N/A	N/A	N/A	N/A	N/A

Code Rebel has lower revenue, but higher earnings than LivePerson.

Profitability

This table compares LivePerson and Code Rebel’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
LivePerson	-18.72%	-111.48%	-6.78%
Code Rebel	N/A	N/A	N/A

Analyst Recommendations

This is a summary of recent ratings and price targets for LivePerson and Code Rebel, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LivePerson	1	4	0	0	1.80
Code Rebel	0	0	0	0	0.00

LivePerson presently has a consensus price target of $0.88, suggesting a potential downside of 10.70%. Given LivePerson’s stronger consensus rating and higher possible upside, equities research analysts clearly believe LivePerson is more favorable than Code Rebel.

Summary

LivePerson beats Code Rebel on 6 of the 9 factors compared between the two stocks.

About LivePerson

LivePerson, Inc. engages in conversational artificial intelligence. It enables brands to leverage the Conversational Cloud's intelligence engine to connect with consumers through an integrated suite of mobile and online business messaging technologies. The company offers the Conversational Cloud, an enterprise-class digital customer conversation platform, which enables businesses and consumers to connect through conversational channels, such as voice, in-app, and mobile messaging. It also provides professional services; LivePerson's Conversational AI, including conversation builder, manager, and intelligence, and intent manager. In addition, it provides Voice AI, conversational intelligence and insights, and integration services. The company sells its products to Fortune 500 companies, Internet businesses, online merchants, automotive dealers, educational institution, public sector, and not-for-profit organizations. It operates in the United States, Canada, Latin America, South America, Europe, the Middle East, Africa, the United Kingdom, and the Asia-Pacific. LivePerson, Inc. was incorporated in 1995 and is headquartered in New York, New York.

About Code Rebel

Code Rebel Corporation operates as a software and information technology (IT) services company. It operates in two segments, Software and IT Services. The Software segment develops, markets, and licenses interactive remote application terminal services solution (iRAPP). The iRAPP allows personal computers users to use applications on a single Mac remote desktop simultaneously via the iRAPP client or any standard compliant remote desktop protocol client. This segment offers iRAPP client-side products for Mac OS X and Windows applications; iRAPP terminal server products, including iRAPP-single-user remote desktop and iRAPP-TS multiple-user terminal server for Mac OS X applications; and iRAPP access products, such as iRAPP Load Balancer and iRAPP Gateway. The IT Services segment provides Independent Software Vendor relationships (ISVs)/channel partner platforms, which provide project management, application, and technical consulting, as well as database administration for implementing projects and managed-services engagements; and professional services consulting that implements, upgrades, and maintains software packages those ISVs offer to their clients. Code Rebel Corporation was founded in 2007 and is based in Kahului, Hawaii.