Hello Group Inc. Sponsored ADR (MOMO) vs Zhihu Inc. Sponsored ADR (ZH)

Hello Group Inc. Sponsored ADR and Zhihu Inc. Sponsored ADR are both Internet Content & Information companies. Hello Group Inc. Sponsored ADR is the larger, with a market value of $472.8M against $208.9M — 2.3× the size. Zhihu Inc. Sponsored ADR has negative trailing earnings, so its P/E is not meaningful; Hello Group Inc. Sponsored ADR trades at 4.6×. Hello Group Inc. Sponsored ADR grew revenue faster over the last twelve months: 3.22% against −10.1%. Hello Group Inc. Sponsored ADR has the higher net margin (11.0% vs −11.1%) and the higher return on invested capital (31.6% vs 0.00%). Across the 19 metrics below, Hello Group Inc. Sponsored ADR leads on 14 and Zhihu Inc. Sponsored ADR on 5.

Valuation

Metric MOMO ZH Internet Content & Information median
P/E 4.59 n/m 12.38
P/S 0.48 0.53 0.93
P/B 0.45 0.37 1.24
Price to free cash flow 4.77 n/m 10.76
EV/EBITDA n/m 5.70 10.74
EV/Sales (0.37) (1.07) 1.20
Earnings yield 21.79% (20.52%) (1.71%)
Free cash flow yield 20.98% (63.84%) 4.26%

Profitability

Metric MOMO ZH Internet Content & Information median
Gross margin 37.29% 57.94% 63.25%
Operating margin 11.88% (18.76%) (1.87%)
Net margin 10.96% (11.08%) (1.37%)
Free cash flow margin 10.23% (33.67%) 3.47%
Return on equity 0.00% (7.43%) (1.19%)
Return on assets 7.60% (5.57%) 0.00%
Return on invested capital 31.59% 0.00% 0.00%

Growth

Metric MOMO ZH Internet Content & Information median
Revenue growth (TTM) 3.22% (10.06%) 6.92%
EPS growth (last fiscal year) (10.81%) (30.77%) 34.37%
Revenue growth, 5-year CAGR (8.43%) 13.66% 10.46%
Net income growth, 5-year CAGR (18.63%) 0.00% 0.00%

Health

Metric MOMO ZH Internet Content & Information median
Debt to equity 0.00 0.03 0.01
Current ratio 5.13 3.73 1.84
Net debt to EBITDA (3.87) 8.61 (0.53)

Dividend

Metric MOMO ZH Internet Content & Information median
Dividend yield 0.00% — 1.19%
Payout ratio 0.00 — 0.27

Size

Metric MOMO ZH Internet Content & Information median
Market cap 472.77m 208.90m 693.23m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack