Contrasting Tuya (NYSE:TUYA) & KORE Group (NYSE:KORE)

KORE Group (NYSE:KORE) and Tuya (NYSE:TUYA) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, profitability, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for KORE Group and Tuya, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KORE Group	1	2	0	0	1.67
Tuya	0	1	1	0	2.50

KORE Group presently has a consensus target price of $4.00, indicating a potential downside of 19.03%. Tuya has a consensus target price of $3.61, indicating a potential upside of 67.13%. Given Tuya’s stronger consensus rating and higher possible upside, analysts clearly believe Tuya is more favorable than KORE Group.

Risk & Volatility

KORE Group has a beta of 1.73, suggesting that its share price is 73% more volatile than the S&P 500. Comparatively, Tuya has a beta of 0.45, suggesting that its share price is 55% less volatile than the S&P 500.

Institutional and Insider Ownership

57.5% of KORE Group shares are owned by institutional investors. Comparatively, 11.5% of Tuya shares are owned by institutional investors. 33.5% of KORE Group shares are owned by insiders. Comparatively, 2.1% of Tuya shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares KORE Group and Tuya’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KORE Group	-24.51%	N/A	-15.92%
Tuya	15.14%	4.84%	4.35%

Valuation & Earnings

This table compares KORE Group and Tuya”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
KORE Group	$286.09 million	0.30	-$146.08 million	($3.58)	-1.38
Tuya	$298.62 million	3.92	$5.00 million	$0.08	27.00

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

Summary

Tuya beats KORE Group on 11 of the 14 factors compared between the two stocks.

About KORE Group

KORE Group Holdings, Inc. provides Internet of Things (IoT) services and solutions worldwide. It offers connectivity and location-based services, device solutions, and managed and professional services that are used in the development and support of IoT technology for the business market. The company’s products include IoT connectivity-as-a-service; connectivity enablement-as-a-service; device management services; and security location based services. It serves customers in healthcare, fleet and vehicle management, asset management, communication services, and industrial/manufacturing sectors. KORE Group Holdings, Inc. was founded in 2002 and is headquartered in Atlanta, Georgia.

About Tuya

Tuya Inc. offers purpose-built Internet of Things (IoT) cloud development platform in the People's Republic of China and internationally. The company provides platform-as-a-service that enables business, original equipment manufacturers, brands, and developers to develop, launch, manage, and monetize software-enabled smart devices and services; and industry software-as-a-service, which enables businesses to deploy, connect, and manage various types of smart devices. It also offers cloud-based software value-added services that provides end users with smart features, such as cloud storage; and Cube Smart Private Cloud Solution which enables conglomerates to build their own autonomous and controllable IoT platforms; and could-based services to businesses, developers, and end users to develop and manage IoT experiences. In addition, the company provides smart solutions for IoT devices that integrates software capabilities; and enables developers to activate an IoT ecosystem of brands, OEMs, partners, and end users to engage and communicate through a range of smart devices, as well as sells finished smart devices. It offers its solutions to smart home, smart business, renewable energy, education, agriculture, outdoors and sport, and entertainment industries. The company was incorporated in 2014 and is based in Hangzhou, the People's Republic of China.