Head to Head Analysis: Adit EdTech Acquisition (NYSE:ADEX) and Sohu.com (NASDAQ:SOHU)

Sohu.com (NASDAQ:SOHU) and Adit EdTech Acquisition (NYSE:ADEX) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, analyst recommendations, dividends, risk, institutional ownership, profitability and valuation.

Earnings & Valuation

This table compares Sohu.com and Adit EdTech Acquisition”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sohu.com	$600.67 million	0.94	-$30.38 million	($1.12)	-15.22
Adit EdTech Acquisition	$19.62 million	2.44	-$18.66 million	N/A	N/A

Adit EdTech Acquisition has lower revenue, but higher earnings than Sohu.com.

Analyst Ratings

This is a summary of current recommendations for Sohu.com and Adit EdTech Acquisition, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sohu.com	0	0	0	0	N/A
Adit EdTech Acquisition	0	0	0	0	N/A

Volatility and Risk

Sohu.com has a beta of 1.18, indicating that its stock price is 18% more volatile than the S&P 500. Comparatively, Adit EdTech Acquisition has a beta of -0.23, indicating that its stock price is 123% less volatile than the S&P 500.

Institutional and Insider Ownership

33.0% of Sohu.com shares are owned by institutional investors. Comparatively, 0.8% of Adit EdTech Acquisition shares are owned by institutional investors. 21.1% of Sohu.com shares are owned by company insiders. Comparatively, 0.3% of Adit EdTech Acquisition shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Sohu.com and Adit EdTech Acquisition’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sohu.com	-9.00%	-7.34%	-4.09%
Adit EdTech Acquisition	N/A	N/A	-41.90%

Summary

Sohu.com beats Adit EdTech Acquisition on 5 of the 9 factors compared between the two stocks.

About Sohu.com

Sohu.com Limited engages in the provision of online media, video, and game products and services on personal computers (PCs) and mobile devices in China. It operates through two segments: Sohu and Changyou. The company offers online news, information, and content services through the mobile phone application Sohu News APP, mobile portal m.sohu.com, and www.sohu.com for PCs; and online video content and services through mobile phone application Sohu Video APP and tv.sohu.com, as well as ifox, a video application for PC. It also operates Focus (www.focus.cn), which provides online real estate information and services; and 17173.com website, which provides news, electronic forums, online videos, and other online game information services to game players, as well as offers mobile game distribution services. In addition, the company offers interactive online games for PCs and mobile devices. Further, it provides paid subscription and interactive broadcasting services. The company was incorporated in 1996 and is headquartered in Beijing, China.

About Adit EdTech Acquisition

Adit EdTech Acquisition Corp. does not have significant operations. It focuses on effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or similar business combination with one or more businesses or entities. Adit EdTech Acquisition Corp. was incorporated in 2020 and is based in New York, New York. Adit EdTech Acquisition Corp. operates as a subsidiary of Adit Edtech Sponsor, LLC.