Cheetah Mobile Inc. (CMCM) vs Phoenix New Media Limited (FENG)

Cheetah Mobile Inc. and Phoenix New Media Limited are both Internet Content & Information companies. Cheetah Mobile Inc. is the larger, with a market value of $23.5M against $7.2M — 3.2× the size. Cheetah Mobile Inc. has negative trailing earnings, so its P/E is not meaningful; Phoenix New Media Limited trades at 3.7×. Cheetah Mobile Inc. grew revenue faster over the last twelve months: 21.5% against 17.1%. Phoenix New Media Limited has the higher net margin (3.48% vs −27.8%) and the higher return on invested capital (−13.1% vs −37.5%). Across the 19 metrics below, Phoenix New Media Limited leads on 12 and Cheetah Mobile Inc. on 7.

Valuation

Metric CMCM FENG Internet Content & Information median
P/E n/m 3.72 12.38
P/S 0.43 0.14 0.93
P/B 0.30 0.10 1.24
Price to free cash flow n/m n/m 10.76
EV/EBITDA 3.52 35.49 10.74
EV/Sales (0.63) (1.08) 1.20
Earnings yield (66.52%) 26.87% (1.71%)
Free cash flow yield (97.35%) (433.93%) 4.26%

Profitability

Metric CMCM FENG Internet Content & Information median
Gross margin 67.39% 53.67% 63.25%
Operating margin (17.95%) (3.04%) (1.87%)
Net margin (27.75%) 3.48% (1.37%)
Free cash flow margin 0.00% 0.00% 3.47%
Return on equity (17.84%) 2.65% (1.19%)
Return on assets (6.45%) 1.79% 0.00%
Return on invested capital (37.54%) (13.05%) 0.00%

Growth

Metric CMCM FENG Internet Content & Information median
Revenue growth (TTM) 21.49% 17.06% 6.92%
EPS growth (last fiscal year) 55.79% 100.69% 34.37%
Revenue growth, 5-year CAGR (7.12%) (10.48%) 10.46%
Net income growth, 5-year CAGR 0.00% (75.97%) 0.00%

Health

Metric CMCM FENG Internet Content & Information median
Debt to equity 0.00 0.01 0.01
Current ratio 1.23 2.89 1.84
Net debt to EBITDA 47.08 42.35 (0.53)

Dividend

Metric CMCM FENG Internet Content & Information median
Dividend yield — — 1.19%
Payout ratio — — 0.27

Size

Metric CMCM FENG Internet Content & Information median
Market cap 23.52m 7.24m 693.23m

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