Mobileye NV (NYSE: MBLY) and YuMe (NYSE:YUME) are both computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, analyst recommendations, dividends, risk, institutional ownership, profitability and valuation.

Earnings and Valuation

This table compares Mobileye NV and YuMe’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Mobileye NV $407.63 million 34.12 $138.64 million $0.50 125.34
YuMe $159.78 million 0.96 $10.08 million $0.10 44.60

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

Risk and Volatility

Mobileye NV has a beta of 0.9, indicating that its share price is 10% less volatile than the S&P 500. Comparatively, YuMe has a beta of 0.58, indicating that its share price is 42% less volatile than the S&P 500.

Profitability

This table compares Mobileye NV and YuMe’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Mobileye NV 26.88% 18.47% 16.50%
YuMe 2.46% 4.36% 2.88%

Analyst Ratings

This is a summary of current recommendations for Mobileye NV and YuMe, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Mobileye NV 1 19 2 0 2.05
YuMe 1 1 0 0 1.50

Mobileye NV presently has a consensus price target of $55.63, indicating a potential downside of 11.23%. YuMe has a consensus price target of $3.00, indicating a potential downside of 32.74%. Given Mobileye NV’s stronger consensus rating and higher possible upside, research analysts plainly believe Mobileye NV is more favorable than YuMe.

Institutional & Insider Ownership

61.0% of Mobileye NV shares are held by institutional investors. Comparatively, 38.3% of YuMe shares are held by institutional investors. 29.3% of YuMe shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Dividends

YuMe pays an annual dividend of $0.12 per share and has a dividend yield of 2.7%. Mobileye NV does not pay a dividend. YuMe pays out 120.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

Mobileye NV beats YuMe on 14 of the 16 factors compared between the two stocks.

About Mobileye NV

Mobileye N.V. is engaged in the development of computer vision and machine learning-based sensing, mapping and driving policy technology for advanced driver assistance systems and autonomous driving technologies. The Company operates through two segments: Original Equipment Manufacturing, which supplies the software algorithms and EyeQ chip, and After Market, which sells a complete system, which includes its software algorithms and EyeQ chip, as well as the camera and other necessary components. Its software algorithms and EyeQ chips perform detailed interpretations of the visual field in order to anticipate possible collisions with other vehicles, pedestrians, cyclists, animals, debris and other obstacles. Its products are able to detect roadway markings; identify and read traffic signs, directional signs and traffic lights; create a Roadbook of localized drivable paths and visual landmarks using its road experience management technology, and provide mapping for autonomous driving.

About YuMe

YuMe, Inc. (YuMe) is an independent provider of multi-screen video advertising technology, connecting brand advertisers, digital media property owners and consumers of video content across a range of Internet-connected devices. The Company operating segments include Domestic and International. The Company offers advertising customers end-to-end marketing solutions by combining data-driven technologies with deep insight into audience behavior. The Company also offers demand-side platform (DSP), called YuMe for Advertisers, to find relevant audiences and deliver targeted advertising, and a supply-side platform (SSP), called YuMe for Publishers (YFP 5.0), which helps aggregate audiences, define audience characteristics and offer monetization opportunities for digital media property owners. Its technologies serve the specific needs of brand advertisers and enable them to find and target brand-receptive audiences across a range of Internet connected devices and digital media properties.

Receive News & Ratings for Mobileye NV Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Mobileye NV and related companies with MarketBeat.com's FREE daily email newsletter.