Horizon Quantum Holdings Ltd. (HQ) vs Tuya Inc. Sponsored ADR (TUYA)

Horizon Quantum Holdings Ltd. and Tuya Inc. Sponsored ADR are both Software Infrastructure companies. Tuya Inc. Sponsored ADR is the larger, with a market value of $950.2M against $809.6M — 1.2× the size. Horizon Quantum Holdings Ltd. has negative trailing earnings, so its P/E is not meaningful; Tuya Inc. Sponsored ADR trades at 15.4×. Tuya Inc. Sponsored ADR has the higher net margin (20.2% vs 0.00%) and the higher return on invested capital (33.5% vs 0.00%). Across the 13 metrics below, Tuya Inc. Sponsored ADR leads on 11 and Horizon Quantum Holdings Ltd. on 2.

Valuation

Metric HQ TUYA Software Infrastructure median
P/E n/m 15.36 28.02
P/S n/m 3.05 3.07
P/B 18.69 1.01 3.36
Price to free cash flow n/m 20.37 17.12
EV/EBITDA n/m 3.24 14.91
EV/Sales n/m 0.19 3.03
Earnings yield (85.79%) 6.51% 0.13%
Free cash flow yield (1.45%) 4.91% 1.15%

Profitability

Metric HQ TUYA Software Infrastructure median
Gross margin — 47.24% 61.23%
Operating margin 0.00% 8.40% 0.00%
Net margin 0.00% 20.16% 0.00%
Free cash flow margin 0.00% 19.39% 1.67%
Return on equity (1,057.18%) 6.74% 0.59%
Return on assets (170.78%) 6.05% 0.00%
Return on invested capital 0.00% 33.49% 0.00%

Growth

Metric HQ TUYA Software Infrastructure median
Revenue growth (TTM) — 7.00% 13.41%
EPS growth (last fiscal year) (2,075.05%) 800.00% —
Revenue growth, 5-year CAGR — 12.34% 15.81%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric HQ TUYA Software Infrastructure median
Debt to equity 0.00 0.01 0.06
Current ratio 33.84 8.74 1.55
Net debt to EBITDA (0.54) (74.76) 0.08

Dividend

Metric HQ TUYA Software Infrastructure median
Dividend yield — — 1.53%
Payout ratio — 0.00 0.00

Size

Metric HQ TUYA Software Infrastructure median
Market cap 809.58m 950.18m 835.96m

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