Financial Comparison: D-MARKET Electronic Services & Trading (NASDAQ:HEPS) versus Newegg Commerce (NASDAQ:NEGG)

Newegg Commerce (NASDAQ:NEGG) and D-MARKET Electronic Services & Trading (NASDAQ:HEPS) are both retail/wholesale companies, but which is the superior stock? We will compare the two businesses based on the strength of their dividends, valuation, profitability, earnings, institutional ownership, analyst recommendations and risk.

Volatility and Risk

Newegg Commerce has a beta of 4.15, suggesting that its share price is 315% more volatile than the S&P 500. Comparatively, D-MARKET Electronic Services & Trading has a beta of 2.3, suggesting that its share price is 130% more volatile than the S&P 500.

Profitability

This table compares Newegg Commerce and D-MARKET Electronic Services & Trading’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Newegg Commerce	N/A	N/A	N/A
D-MARKET Electronic Services & Trading	-5.42%	-113.69%	-10.63%

Earnings & Valuation

This table compares Newegg Commerce and D-MARKET Electronic Services & Trading”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Newegg Commerce	$1.24 million	N/A	-$43.33 million	N/A	N/A
D-MARKET Electronic Services & Trading	$1.74 billion	0.55	-$48.95 million	($0.25)	-10.72

Newegg Commerce has higher earnings, but lower revenue than D-MARKET Electronic Services & Trading.

Insider and Institutional Ownership

0.5% of Newegg Commerce shares are held by institutional investors. Comparatively, 40.5% of D-MARKET Electronic Services & Trading shares are held by institutional investors. 22.9% of Newegg Commerce shares are held by company insiders. Comparatively, 36.3% of D-MARKET Electronic Services & Trading shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Newegg Commerce and D-MARKET Electronic Services & Trading, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Newegg Commerce	1	0	0	0	1.00
D-MARKET Electronic Services & Trading	1	2	0	0	1.67

D-MARKET Electronic Services & Trading has a consensus target price of $3.07, indicating a potential upside of 14.55%. Given D-MARKET Electronic Services & Trading’s stronger consensus rating and higher possible upside, analysts clearly believe D-MARKET Electronic Services & Trading is more favorable than Newegg Commerce.

About Newegg Commerce

Newegg Commerce, Inc. operates as an electronics-focused e-retailer in North America. The company offers desktops, laptops, gaming laptops, peripherals, and accessories; CPU/processors, graphic cards, motherboards, storage devices, and computer accessories; home video and audio, headphones, pro audio/video, cellphones, wearables, and digital cameras; display and printing, office technology furniture, office supplies, and mailing and inventory supplies; and software, digital downloads, warranty and services, 3rd party gift cards, and entertainment products. It also provides Xbox, PlayStation, home networking, server and components, smart home products, car electronics, motorcycles and ATV, wheels and tires, home improvement tools, home appliances, kitchen utensils, outdoor and garden furniture, fitness, and sports and health products. The company operates B2C platforms, including Newegg.com, Newegg.ca, and Newegg Global, as well as mobile apps; and B2B platforms comprising NeweggBusiness.com. The company was founded in 2001 and is headquartered in City of Industry, California. Newegg Commerce, Inc. is a subsidiary of Hangzhou Liaison Interactive Information Technology Co., Ltd.

About D-MARKET Electronic Services & Trading

D-Market Elektronik Hizmetler ve Ticaret A.S. operates e-commerce platforms in Turkey. The company operates www.hepsiburada.com, a retail website that provides its retail customers a range of merchandise, including electronics and non-electronics products, such as books, sports, toys, kids and baby products, cosmetics, furniture, etc. It also offers Hepsiburada Market, an app-in-app initiative and on-demand delivery service that delivers groceries and water; HepsiJet that provides last-mile delivery services; HepsiLojistik, which offers storage and fulfillment services; HepsiMat, an offline network of pick-up and drop-off point; HepsiAd that provides advertising service; HepsiGlobal for discovering and purchasing products from international merchants online; Hepsipay, which offers an e-money and payment services; and Hepsiburada Seyahat for buying airline tickets online. The company was incorporated in 2000 and is headquartered in Istanbul, Turkey.