Head-To-Head Analysis: PubMatic (NASDAQ:PUBM) vs. MassRoots (OTCMKTS:MSRT)

MassRoots (OTCMKTS:MSRT) and PubMatic (NASDAQ:PUBM) are both small-cap business services companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, earnings, valuation, analyst recommendations, risk, institutional ownership and dividends.

Insider and Institutional Ownership

22.1% of MassRoots shares are owned by institutional investors. Comparatively, 64.3% of PubMatic shares are owned by institutional investors. 6.1% of MassRoots shares are owned by company insiders. Comparatively, 2.9% of PubMatic shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and price targets for MassRoots and PubMatic, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MassRoots	0	0	0	0	0.00
PubMatic	0	4	5	0	2.56

PubMatic has a consensus target price of $20.00, indicating a potential upside of 21.73%. Given PubMatic’s stronger consensus rating and higher probable upside, analysts plainly believe PubMatic is more favorable than MassRoots.

Volatility & Risk

MassRoots has a beta of 2.45, meaning that its share price is 145% more volatile than the S&P 500. Comparatively, PubMatic has a beta of 1.41, meaning that its share price is 41% more volatile than the S&P 500.

Profitability

This table compares MassRoots and PubMatic’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MassRoots	N/A	-139.45%	N/A
PubMatic	5.96%	6.12%	2.58%

Earnings & Valuation

This table compares MassRoots and PubMatic”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MassRoots	$10,000.00	17,725.43	-$14.71 million	N/A	N/A
PubMatic	$267.01 million	2.94	$8.88 million	$0.31	53.00

PubMatic has higher revenue and earnings than MassRoots.

Summary

PubMatic beats MassRoots on 9 of the 12 factors compared between the two stocks.

About MassRoots

MassRoots, Inc. engages in the development and provision of social media network for the cannabis community. It offers WeedPass, a rewards program which enables consumers to earn tickets to movies, sporting events, and festivals by shopping at participating dispensaries. The company was founded by Isaac Dietrich, Stewart Fortier, Tyler Knight, and Hyler Fortier in April 2013 and is headquartered in Denver, CO.

About PubMatic

PubMatic, Inc., a technology company, engages in the provision of a cloud infrastructure platform that enables real-time programmatic advertising transactions for digital content creators, advertisers, agencies, agency trading desks, and demand side platforms worldwide. Its PubMatic SSP, a sell-side platform, used for the purchase and sale of digital advertising inventory for publishers and buyers. The company also provides solutions, including OpenWrap, a header bidding solution; Openwrap OTT, a prebid-powered unified bidding solution; Openwrap SDK, an enterprise-grade management tools and analytics; Connect, a solution that provides additional data and insights to publishers and buyers; Activate, which allows buyers to execute direct deals on its platform across publisher inventory; Convert, a commerce media solution; and Identity Hub, an ID management tool for publishers that leverages specialized technology?infrastructure?to simplify the complex alternative identifier marketplace. Its platform supports an array of ad formats and digital device types, including mobile app, mobile web, desktop, display, video, over-the-top (OTT), connected television, and media. The company was incorporated in 2006 and is based in Redwood City, California.