Sohu.com (NASDAQ:SOHU) vs. Embracer Group AB (publ) (OTCMKTS:THQQF) Financial Survey

Embracer Group AB (publ) (OTCMKTS:THQQF) and Sohu.com (NASDAQ:SOHU) are both communication services companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, earnings, dividends, analyst recommendations, risk, valuation and institutional ownership.

Earnings & Valuation

This table compares Embracer Group AB (publ) and Sohu.com”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Embracer Group AB (publ)	N/A	N/A	N/A	N/A	N/A
Sohu.com	$584.33 million	0.64	$394.10 million	$8.57	1.68

Sohu.com has higher revenue and earnings than Embracer Group AB (publ).

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Embracer Group AB (publ) and Sohu.com, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Embracer Group AB (publ)	0	0	0	0	0.00
Sohu.com	0	1	2	0	2.67

Sohu.com has a consensus price target of $19.00, suggesting a potential upside of 31.67%. Given Sohu.com’s stronger consensus rating and higher probable upside, analysts plainly believe Sohu.com is more favorable than Embracer Group AB (publ).

Insider and Institutional Ownership

33.0% of Sohu.com shares are held by institutional investors. 21.1% of Sohu.com shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Embracer Group AB (publ) and Sohu.com’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Embracer Group AB (publ)	N/A	N/A	N/A
Sohu.com	38.15%	21.63%	16.13%

Summary

Sohu.com beats Embracer Group AB (publ) on 9 of the 9 factors compared between the two stocks.

About Embracer Group AB (publ)

Embracer Group AB (publ), together with its subsidiaries, develops and publishes PC, console, mobile, VR, and board games for the games market worldwide. The company also publishes films and comic books, as well as engages in the trading of card games. It distributes games through retailers, physical stores, and digital distributors. The company was formerly known as THQ Nordic AB (publ) and changed its name to Embracer Group AB (publ) in October 2019. Embracer Group AB (publ) was founded in 1990 and is headquartered in Karlstad, Sweden.

About Sohu.com

Sohu.com Limited engages in the provision of online media, video, and game products and services on personal computers (PCs) and mobile devices in China. It operates through two segments: Sohu and Changyou. The company offers online news, information, and content services through the mobile phone application Sohu News APP, mobile portal m.sohu.com, and www.sohu.com for PCs; and online video content and services through mobile phone application Sohu Video APP and tv.sohu.com, as well as ifox, a video application for PC. It also operates Focus (www.focus.cn), which provides online real estate information and services; and 17173.com website, which provides news, electronic forums, online videos, and other online game information services to game players, as well as offers mobile game distribution services. In addition, the company offers interactive online games for PCs and mobile devices. Further, it provides paid subscription and interactive broadcasting services. The company was incorporated in 1996 and is headquartered in Beijing, China.