NetEase, Inc. (NTES) vs Playtika Holding Corp. (PLTK)

NetEase, Inc. and Playtika Holding Corp. are both Electronic Gaming & Multimedia companies. NetEase, Inc. is the larger, with a market value of $73.5B against $831.5M — 88.4× the size. Playtika Holding Corp. has negative trailing earnings, so its P/E is not meaningful; NetEase, Inc. trades at 15.7×. NetEase, Inc. grew revenue faster over the last twelve months: 13.6% against 5.84%. NetEase, Inc. has the higher net margin (28.0% vs −9.89%) and the higher return on invested capital (605.2% vs −3.95%). Across the 20 metrics below, NetEase, Inc. leads on 13 and Playtika Holding Corp. on 7.

Valuation

Metric NTES PLTK Electronic Gaming & Multimedia median
P/E 15.74 n/m 7.09
P/S 4.32 0.29 1.09
P/B 2.93 n/m 1.02
Price to free cash flow 10.09 2.16 6.55
EV/EBITDA 7.76 23.93 3.29
EV/Sales 2.88 0.98 0.84
Earnings yield 6.35% (34.11%) (3.08%)
Free cash flow yield 9.91% 46.29% 0.00%

Profitability

Metric NTES PLTK Electronic Gaming & Multimedia median
Gross margin 67.15% 73.48% 70.26%
Operating margin 35.28% (3.45%) (8.19%)
Net margin 27.96% (9.89%) (9.89%)
Free cash flow margin 42.84% 13.33% 0.00%
Return on equity 22.94% 114.70% 0.00%
Return on assets 15.11% (8.07%) (1.43%)
Return on invested capital 605.16% (3.95%) 0.00%

Growth

Metric NTES PLTK Electronic Gaming & Multimedia median
Revenue growth (TTM) 13.58% 5.84% 13.58%
EPS growth (last fiscal year) 19.24% (225.00%) —
Revenue growth, 5-year CAGR 7.36% 3.05% (2.72%)
Net income growth, 5-year CAGR 21.16% 0.00% 0.00%

Health

Metric NTES PLTK Electronic Gaming & Multimedia median
Debt to equity 0.07 (5.96) 0.00
Current ratio 3.45 1.14 1.61
Net debt to EBITDA (4.22) 6.59 0.07

Dividend

Metric NTES PLTK Electronic Gaming & Multimedia median
Dividend yield 1.82% — —
Payout ratio 0.28 0.00 0.00

Size

Metric NTES PLTK Electronic Gaming & Multimedia median
Market cap 73.51b 831.49m 53.60m

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