Contrasting Kuke Music (NYSE:KUKE) & GoPro (NASDAQ:GPRO)

Kuke Music (NYSE:KUKE) and GoPro (NASDAQ:GPRO) are both small-cap consumer discretionary companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, risk, valuation, dividends, analyst recommendations, profitability and earnings.

Volatility and Risk

Kuke Music has a beta of -0.11, indicating that its stock price is 111% less volatile than the S&P 500. Comparatively, GoPro has a beta of 1.6, indicating that its stock price is 60% more volatile than the S&P 500.

Profitability

This table compares Kuke Music and GoPro’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kuke Music	N/A	N/A	N/A
GoPro	-14.53%	-49.10%	-12.67%

Valuation & Earnings

This table compares Kuke Music and GoPro”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kuke Music	$9.59 million	1.21	-$9.03 million	N/A	N/A
GoPro	$801.47 million	0.44	-$432.31 million	($0.69)	-3.20

Kuke Music has higher earnings, but lower revenue than GoPro.

Institutional & Insider Ownership

0.0% of Kuke Music shares are owned by institutional investors. Comparatively, 70.1% of GoPro shares are owned by institutional investors. 42.2% of Kuke Music shares are owned by insiders. Comparatively, 18.4% of GoPro shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and price targets for Kuke Music and GoPro, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kuke Music	0	0	0	0	0.00
GoPro	1	1	0	0	1.50

GoPro has a consensus target price of $0.75, suggesting a potential downside of 66.06%. Given GoPro’s stronger consensus rating and higher possible upside, analysts plainly believe GoPro is more favorable than Kuke Music.

Summary

Kuke Music beats GoPro on 6 of the 11 factors compared between the two stocks.

About Kuke Music

Kuke Music Holding Limited, through its subsidiaries, provides classical music licensing, subscription, and education services in China. It operates through two segments: Subscription, Licensing and Smart Education Business; and Music Events and Performances Business. The Subscription, Licensing and Smart Education Business segment distributes commercial copyrights and offers music education solutions. The Music Events Business segment provides music festival events and music performance services; and sells musical instruments, including conch smart speakers. The company licenses its music content primarily to online music entertainment platforms, digital music service providers, and commercial enterprises, as well as film and TV production companies, airlines, and smart hardware companies. It has institutional subscribers, including universities and music conservatories, as well as public libraries. Kuke Music Holding Limited was founded in 2002 and is headquartered in Beijing, China.

About GoPro

GoPro, Inc. develops and sells cameras, mountable and wearable accessories, and subscription services and software in the Americas, Europe, the Middle East, Africa, the Asia and Pacific region, and internationally. The company provides cloud connected HERO12 Black, HERO11 Black, HERO11 Black Mini, HERO10 Black, HERO10 Black Bones, and HERO9 Black waterproof cameras; MAX, a 360-degree waterproof camera; Premium and Premium+ subscription services, which include full access to the Quik app, cloud storage supporting source video and photo quality, camera replacement, and damage protection; Quik subscription that offers access to editing tools, which allows users to edit photos, videos, and create cinematic stories; and Quik desktop and mobile apps that enable users to get their favorite photos and videos with footage from any phone or camera. It also offers mounts and accessories comprising equipment-based mounts consisting of helmet, handlebar, roll bar, and tripod mounts that enable consumers to wear the mount on their bodies, such as wrist housings, magnetic swivel clips, chest harnesses, and head straps; media, display, and light mods; spare batteries, dive filters, and charging accessories and cables; and lifestyle gear, such as bags, backpacks, cases, t-shirts, hats, and other soft goods. In addition, the company provides mobile, desktop, and web applications that provides media workflow for archiving, editing, multi-clip story creation, and sharing content on the fly. GoPro, Inc. sells its products through retailers and wholesale distributors, as well as through its GoPro.com website. The company was formerly known as Woodman Labs, Inc. and changed its name to GoPro, Inc. in February 2014. GoPro, Inc. was founded in 2002 and is headquartered in San Mateo, California.