Contrasting ECARX (NASDAQ:ECX) & Kubient (NASDAQ:KBNT)
by Danessa Lincoln · The Markets DailyKubient (NASDAQ:KBNT – Get Free Report) and ECARX (NASDAQ:ECX – Get Free Report) are both small-cap business services companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, risk, dividends, earnings and valuation.
Analyst Ratings
This is a breakdown of recent ratings and target prices for Kubient and ECARX, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Kubient | 0 | 0 | 0 | 0 | N/A |
| ECARX | 0 | 0 | 1 | 0 | 3.00 |
ECARX has a consensus price target of $10.00, suggesting a potential upside of 506.06%. Given ECARX’s higher probable upside, analysts plainly believe ECARX is more favorable than Kubient.
Earnings and Valuation
This table compares Kubient and ECARX’s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Kubient | $2.40 million | 0.01 | -$13.62 million | ($0.87) | 0.00 |
| ECARX | $4.67 billion | 0.12 | -$132.42 million | ($0.38) | -4.34 |
Kubient has higher earnings, but lower revenue than ECARX. ECARX is trading at a lower price-to-earnings ratio than Kubient, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Kubient and ECARX’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Kubient | N/A | N/A | N/A |
| ECARX | -20.03% | N/A | -23.13% |
Volatility & Risk
Kubient has a beta of 1.52, indicating that its stock price is 52% more volatile than the S&P 500. Comparatively, ECARX has a beta of 0.13, indicating that its stock price is 87% less volatile than the S&P 500.
Insider & Institutional Ownership
13.9% of Kubient shares are held by institutional investors. 22.3% of Kubient shares are held by insiders. Comparatively, 20.0% of ECARX shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Summary
Kubient beats ECARX on 7 of the 12 factors compared between the two stocks.
About Kubient
Kubient, Inc. develops a cloud-based software platform for digital advertising industry. It develops Audience Marketplace, a platform for real-time trading of digital, programmatic advertising. The company's platform allows advertisers and publishers the ability to use machine learning during programmatic advertising inventory auction. The company was incorporated in 2017 and is based in New York, New York.
About ECARX
ECARX Holdings Inc. develops a full stack automotive computing platform to shape the interaction between people and cars by rapidly advancing the technology by smart mobility worldwide. It offers system on chips, central computing platforms, operating systems, and software. Its core products include infotainment head units, digital cockpits, vehicle chip-set solutions, core operating system, and integrated software stack. The company has entered into a strategic partnership agreement with Black Sesame Technologies. The company is based in Shanghai, the People's Republic of China.