Financial Contrast: Lucas GC (NASDAQ:LGCL) & Rumble (NASDAQ:RUM)

Lucas GC (NASDAQ:LGCL) and Rumble (NASDAQ:RUM) are both business services companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, valuation, institutional ownership, risk, profitability, dividends and analyst recommendations.

Volatility and Risk

Lucas GC has a beta of -1.94, meaning that its share price is 294% less volatile than the S&P 500. Comparatively, Rumble has a beta of 0.69, meaning that its share price is 31% less volatile than the S&P 500.

Earnings and Valuation

This table compares Lucas GC and Rumble”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lucas GC	$1.06 billion	0.04	$10.94 million	N/A	N/A
Rumble	$101.46 million	41.39	-$116.42 million	($1.44)	-6.72

Lucas GC has higher revenue and earnings than Rumble.

Profitability

This table compares Lucas GC and Rumble’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lucas GC	N/A	N/A	N/A
Rumble	-152.81%	-62.75%	-50.56%

Analyst Ratings

This is a breakdown of current ratings for Lucas GC and Rumble, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lucas GC	0	0	0	0	0.00
Rumble	0	1	1	0	2.50

Rumble has a consensus price target of $14.00, suggesting a potential upside of 44.78%. Given Rumble’s stronger consensus rating and higher probable upside, analysts clearly believe Rumble is more favorable than Lucas GC.

Institutional & Insider Ownership

26.1% of Rumble shares are held by institutional investors. 70.1% of Rumble shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

Rumble beats Lucas GC on 7 of the 12 factors compared between the two stocks.

About Lucas GC

Lucas GC Limited, through its subsidiaries, provides online agent-centric human capital management services based on platform-as-a-service (PaaS) in the People’s Republic of China. Its Star Career and Columbus platforms enables registered users to receive customized job recommendations and work as talent scouts to source suitable candidates for its corporate customers through their social network, as well as receive trainings and other value-added services. The company’s platform provides permanent and flexible employment recruitment services; outsourcing services primarily for technology-related projects to design, develop, and deliver the projects within budget and on time with acceptable quality; information technology services to generate sales leads for its corporate customers; and training services comprising career-related certification programs. In addition, it engages in the media and entertainment business, as well as provides management consulting services. Lucas GC Limited was founded in 2011 and is based in Beijing, China. Lucas GC Limited operates as a subsidiary of HTL Lucky Holding Limited.

About Rumble

Rumble Inc. operates video sharing platforms in the United States, Canada, and internationally. The company operates rumble.com, a free-to-use video sharing and livestreaming platform where users can subscribe to channels to stay in touch with creators, and access video on-demand (VOD) and live content streamed by creators. It also operates locals.com, a platform where users can access free content and purchase subscriptions to support creators and access exclusive content in creator communities; Rumble Streaming Marketplace, a patent-pending application designed to enable a first-of-its-kind livestreaming and monetization service for creators; and Rumble Advertising Center (RAC), an online advertising management exchange. The company was founded in 2013 and is headquartered in Longboat Key, Florida.