Critical Analysis: Datasea (NASDAQ:DTSS) vs. Zeta Global (NYSE:ZETA)

Datasea (NASDAQ:DTSS) and Zeta Global (NYSE:ZETA) are both computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, earnings, risk, analyst recommendations, profitability, dividends and valuation.

Profitability

This table compares Datasea and Zeta Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Datasea	-34.88%	-713.09%	-272.21%
Zeta Global	-13.35%	-45.22%	-18.84%

Insider & Institutional Ownership

82.1% of Datasea shares are held by institutional investors. Comparatively, 75.8% of Zeta Global shares are held by institutional investors. 41.1% of Datasea shares are held by insiders. Comparatively, 25.5% of Zeta Global shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Datasea and Zeta Global”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Datasea	$23.98 million	0.52	-$11.38 million	N/A	N/A
Zeta Global	$728.72 million	5.31	-$187.48 million	($0.70)	-25.11

Datasea has higher earnings, but lower revenue than Zeta Global.

Risk & Volatility

Datasea has a beta of 0.62, suggesting that its share price is 38% less volatile than the S&P 500. Comparatively, Zeta Global has a beta of 1.29, suggesting that its share price is 29% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations and price targets for Datasea and Zeta Global, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Datasea	0	0	0	0	0.00
Zeta Global	0	3	11	1	2.87

Zeta Global has a consensus price target of $39.08, indicating a potential upside of 122.28%. Given Zeta Global’s stronger consensus rating and higher probable upside, analysts plainly believe Zeta Global is more favorable than Datasea.

Summary

Zeta Global beats Datasea on 10 of the 13 factors compared between the two stocks.

About Datasea

Datasea Inc., through its subsidiaries, provides technology and information systems in the People's Republic of China. The company provides smart city solutions and 5G messaging applications. It also offers its smart security solutions primarily to schools, tourist or scenic attractions, and public communities. In addition, the company provides intelligent acoustics products, which include ultrasonic air sterilizer, air purification and deodorization, and other products. The company was formerly known as Rose Rock, Inc. and changed its name to Datasea Inc. in October 2015. Datasea Inc. was incorporated in 2014 and is headquartered in Beijing, the People's Republic of China.

About Zeta Global

Zeta Global Holdings Corp. operates an omnichannel data-driven cloud platform that provides enterprises with consumer intelligence and marketing automation software in the United States and internationally. The company’s Zeta Marketing Platform analyzes billions of structured and unstructured data points to predict consumer intent by leveraging sophisticated machine learning algorithms and the industry’s opted-in data set for omnichannel marketing; and Consumer Data platform ingests, analyzes, and distills disparate data points to generate a single view of a consumer, encompassing identity, profile characteristics, behaviors, and purchase intent. It also offers various types of product suites, such as agile intelligence suite, which synthesizes Zeta’s data and data generated by its customers to uncover consumer insights that are translated into marketing programs; and CDP, which helps in consolidating multiple databases and internal and external data feeds and organize data based on needs and performance metrics. Zeta Global Holdings Corp. was incorporated in 2007 and is headquartered in New York, New York.