Analyzing ZW Data Action Technologies (NASDAQ:CNET) & Creative Realities (NASDAQ:CREX)

Creative Realities (NASDAQ:CREX) and ZW Data Action Technologies (NASDAQ:CNET) are both small-cap communication services companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, dividends, analyst recommendations, risk, profitability, institutional ownership and earnings.

Volatility and Risk

Creative Realities has a beta of 1.52, suggesting that its share price is 52% more volatile than the S&P 500. Comparatively, ZW Data Action Technologies has a beta of 0.76, suggesting that its share price is 24% less volatile than the S&P 500.

Valuation and Earnings

This table compares Creative Realities and ZW Data Action Technologies”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Creative Realities	$72.32 million	0.39	-$28.54 million	($2.11)	-0.99
ZW Data Action Technologies	$3.45 million	0.88	-$917,000.00	($0.25)	-3.32

ZW Data Action Technologies has lower revenue, but higher earnings than Creative Realities. ZW Data Action Technologies is trading at a lower price-to-earnings ratio than Creative Realities, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Creative Realities and ZW Data Action Technologies, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Creative Realities	1	1	2	0	2.25
ZW Data Action Technologies	1	0	0	0	1.00

Creative Realities currently has a consensus target price of $8.00, suggesting a potential upside of 282.78%. Given Creative Realities’ stronger consensus rating and higher probable upside, research analysts clearly believe Creative Realities is more favorable than ZW Data Action Technologies.

Insider and Institutional Ownership

41.3% of Creative Realities shares are owned by institutional investors. Comparatively, 0.0% of ZW Data Action Technologies shares are owned by institutional investors. 26.8% of Creative Realities shares are owned by insiders. Comparatively, 17.4% of ZW Data Action Technologies shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Creative Realities and ZW Data Action Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Creative Realities	N/A	N/A	N/A
ZW Data Action Technologies	N/A	N/A	N/A

Summary

Creative Realities beats ZW Data Action Technologies on 8 of the 11 factors compared between the two stocks.

About Creative Realities

Creative Realities, Inc., together with its subsidiaries, provides digital marketing technology and solutions in the United States and internationally. It offers digital signage and media solutions to enhance communications in a wide-ranging variety of out-of-home environments. The company’s solutions include digital merchandising systems and omni-channel customer engagement systems; interactive digital shopping assistants; advisors and kiosks; and other interactive marketing technologies, such as mobile, social media, point-of-sale transactions, beaconing, and web-based media that enables its customers to engage with their consumers. It also provides hardware system design/engineering, hardware installation, content development, content scheduling, post-deployment network and field support, and media sales, as well as media management and distribution software platforms and networks; device and product management; and customized software service layers, systems, experiences, workflows, and integrated solutions. The company sells its solutions to the automotive, retail, digital out of home comprising advertising networks and retail media networks, foodservice/quick-serve restaurants, financial services, gaming, and sports and entertainment venues. Creative Realities, Inc. is headquartered in Louisville, Kentucky.

About ZW Data Action Technologies

ZW Data Action Technologies Inc., through its subsidiaries, offers omni-channel advertising, precision marketing, and data analysis management systems in the People’s Republic of China. The company offers Internet advertising, precision marketing, and related data services to small and medium enterprises through its Internet portals, including 28.com and liansuo.com that provide advertisers with tools to build sales channels in the form of franchisees, sales agents, distributors, and/or resellers. It also develops and operates blockchain technology-based products and services, as well as blockchain-based SaaS services that provides one-stop blockchain-powered enterprise management solutions in forms of NFT generations, data record, share, and storage module subscriptions, etc. In addition, the company offers other e-commerce O2O advertising, and marketing and related value-added technical services. Additionally, it offers online-content production, distribution, promotion, and live streamer training and management services. The company was formerly known as ChinaNet Online Holdings, Inc. and changed its name to ZW Data Action Technologies Inc. in October 2020. Data Action Technologies Inc. was founded in 2003 and is based in Beijing, the People’s Republic of China.