Head to Head Analysis: Dada Nexus (NASDAQ:DADA) vs. Eventbrite (NYSE:EB)

Eventbrite (NYSE:EB) and Dada Nexus (NASDAQ:DADA) are both small-cap computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, risk, analyst recommendations, dividends, profitability, valuation and earnings.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Eventbrite and Dada Nexus, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eventbrite	0	4	2	0	2.33
Dada Nexus	0	5	1	0	2.17

Eventbrite currently has a consensus target price of $6.58, suggesting a potential upside of 89.18%. Dada Nexus has a consensus target price of $2.70, suggesting a potential upside of 109.30%. Given Dada Nexus’ higher probable upside, analysts plainly believe Dada Nexus is more favorable than Eventbrite.

Earnings & Valuation

This table compares Eventbrite and Dada Nexus”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Eventbrite	$336.37 million	1.00	-$26.48 million	($0.09)	-38.67
Dada Nexus	$9.98 billion	0.03	-$275.71 million	($1.11)	-1.16

Eventbrite has higher earnings, but lower revenue than Dada Nexus. Eventbrite is trading at a lower price-to-earnings ratio than Dada Nexus, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

91.6% of Eventbrite shares are held by institutional investors. Comparatively, 59.3% of Dada Nexus shares are held by institutional investors. 21.5% of Eventbrite shares are held by insiders. Comparatively, 8.5% of Dada Nexus shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Volatility and Risk

Eventbrite has a beta of 2.26, indicating that its stock price is 126% more volatile than the S&P 500. Comparatively, Dada Nexus has a beta of 1.36, indicating that its stock price is 36% more volatile than the S&P 500.

Profitability

This table compares Eventbrite and Dada Nexus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Eventbrite	-2.42%	-4.44%	-0.91%
Dada Nexus	-20.95%	-12.70%	-9.56%

Summary

Eventbrite beats Dada Nexus on 11 of the 14 factors compared between the two stocks.

About Eventbrite

Eventbrite, Inc. operates a two-sided marketplace that provides self-service ticketing and marketing tools for event creators in the United States and internationally. Its platform integrates components needed to plan, promote, and produce live events that allow creators to reduce friction and costs, enhance reach, and drive ticket sales. The company was formerly known as Mollyguard Corporation and changed its name to Eventbrite, Inc. in 2009. Eventbrite, Inc. was incorporated in 2008 and is headquartered in San Francisco, California.

About Dada Nexus

Dada Nexus Limited operates a platform of local on-demand retail and delivery in the People’s Republic of China. It operates Dada Now, a local on-demand delivery platform that provides intra-city delivery and last-mile delivery services on an on-demand basis to chain merchants, small- and medium-sized enterprise merchants, and individual senders; and JDDJ, a local on-demand retail platforms for consumers, retailers, and brand owners. The company was incorporated in 2014 and is headquartered in Shanghai, China.