Head-To-Head Survey: UbiSoft Entertainment (OTCMKTS:UBSFY) and Playtika (NASDAQ:PLTK)

Playtika (NASDAQ:PLTK) and UbiSoft Entertainment (OTCMKTS:UBSFY) are both small-cap consumer discretionary companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, dividends, risk, institutional ownership, earnings and analyst recommendations.

Risk & Volatility

Playtika has a beta of 0.84, indicating that its stock price is 16% less volatile than the S&P 500. Comparatively, UbiSoft Entertainment has a beta of -0.14, indicating that its stock price is 114% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and target prices for Playtika and UbiSoft Entertainment, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Playtika	0	5	3	0	2.38
UbiSoft Entertainment	1	0	0	1	2.50

Playtika currently has a consensus price target of $6.00, suggesting a potential upside of 68.07%. Given Playtika’s higher probable upside, research analysts clearly believe Playtika is more favorable than UbiSoft Entertainment.

Institutional & Insider Ownership

11.9% of Playtika shares are held by institutional investors. Comparatively, 0.1% of UbiSoft Entertainment shares are held by institutional investors. 4.8% of Playtika shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Playtika and UbiSoft Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Playtika	3.16%	-114.44%	3.23%
UbiSoft Entertainment	N/A	N/A	N/A

Valuation and Earnings

This table compares Playtika and UbiSoft Entertainment”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Playtika	$2.55 billion	0.53	$162.20 million	$0.24	14.88
UbiSoft Entertainment	$2.04 billion	0.30	-$170.71 million	N/A	N/A

Playtika has higher revenue and earnings than UbiSoft Entertainment.

Summary

Playtika beats UbiSoft Entertainment on 10 of the 13 factors compared between the two stocks.

About Playtika

Playtika Holding Corp., together with its subsidiaries, develops mobile games in the United States, Europe, Middle East, Africa, Asia pacific, and internationally. The company owns a portfolio of casual and social casino-themed games. It distributes its games to the end customer through various web and mobile platforms and direct-to-consumer platforms. Playtika Holding Corp. was founded in 2010 and is headquartered in Herzliya Pituach, Israel. Playtika Holding Corp. is a subsidiary of Playtika Holding UK II Limited.

About UbiSoft Entertainment

Ubisoft Entertainment SA produce, publishes, and distributes video games for consoles, PC, smartphones, and tablets in both physical and digital formats in Europe, North America, and internationally. The company designs and develops software, including scenarios, animation, gameplay, layouts, and game rules, as well as develops design tools and game engines. It is involved in the development in the area of online and mobile gaming; and film business. Ubisoft Entertainment SA was incorporated in 1986 and is headquartered in Saint-Mandé, France.