Critical Analysis: DoubleDown Interactive (NASDAQ:DDI) vs. Chilco River (OTCMKTS:CRVH)

Chilco River (OTCMKTS:CRVH) and DoubleDown Interactive (NASDAQ:DDI) are both small-cap consumer discretionary companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, profitability, risk, earnings, institutional ownership, analyst recommendations and dividends.

Risk & Volatility

Chilco River has a beta of 11.16, meaning that its stock price is 1,016% more volatile than the S&P 500. Comparatively, DoubleDown Interactive has a beta of 0.84, meaning that its stock price is 16% less volatile than the S&P 500.

Valuation and Earnings

This table compares Chilco River and DoubleDown Interactive”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Chilco River	N/A	N/A	N/A	N/A	N/A
DoubleDown Interactive	$341.33 million	1.25	$124.11 million	$2.30	3.73

DoubleDown Interactive has higher revenue and earnings than Chilco River.

Profitability

This table compares Chilco River and DoubleDown Interactive’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chilco River	N/A	N/A	N/A
DoubleDown Interactive	32.94%	12.92%	11.89%

Analyst Recommendations

This is a summary of recent ratings and target prices for Chilco River and DoubleDown Interactive, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chilco River	0	0	0	0	0.00
DoubleDown Interactive	0	2	4	0	2.67

DoubleDown Interactive has a consensus price target of $18.60, indicating a potential upside of 116.53%. Given DoubleDown Interactive’s stronger consensus rating and higher possible upside, analysts clearly believe DoubleDown Interactive is more favorable than Chilco River.

Summary

DoubleDown Interactive beats Chilco River on 7 of the 8 factors compared between the two stocks.

About Chilco River

Chilco River Holdings, Inc. engages in developing products for the consumable products market. The company is based in Los Angeles, California.

About DoubleDown Interactive

DoubleDown Interactive Co., Ltd. engages in the development and publishing of casual games and mobile applications in South Korea. It publishes digital gaming content on mobile and web platforms. The company offers DoubleDown Casino, DoubleDown Classic, DoubleDown Fort Knox, and cash me out games, as well as sells in-game virtual chips. Its games are primarily distributed, marketed, and promoted through third party platform providers. The company was formerly known as The8Games Co., Ltd. and changed its name to DoubleDown Interactive Co., Ltd. in December 2019. The company was incorporated in 2008 and is headquartered in Seoul, South Korea. DoubleDown Interactive Co., Ltd. is a subsidiary of DoubleU Games Co., Ltd.