Critical Survey: Next Technology (NASDAQ:NXTT) versus trivago (NASDAQ:TRVG)

trivago (NASDAQ:TRVG) and Next Technology (NASDAQ:NXTT) are both small-cap computer and technology companies, but which is the better stock? We will contrast the two companies based on the strength of their dividends, analyst recommendations, institutional ownership, risk, profitability, earnings and valuation.

Analyst Ratings

This is a breakdown of recent recommendations for trivago and Next Technology, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
trivago	0	3	1	0	2.25
Next Technology	0	0	0	0	N/A

trivago currently has a consensus price target of $3.36, suggesting a potential upside of 65.52%. Given trivago’s higher possible upside, equities research analysts plainly believe trivago is more favorable than Next Technology.

Institutional and Insider Ownership

4.5% of trivago shares are held by institutional investors. Comparatively, 2.7% of Next Technology shares are held by institutional investors. 6.5% of trivago shares are held by company insiders. Comparatively, 37.5% of Next Technology shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares trivago and Next Technology’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
trivago	$469.55 million	0.30	-$178.01 million	($2.82)	-0.72
Next Technology	$2.63 million	1.55	-$9.92 million	N/A	N/A

Next Technology has lower revenue, but higher earnings than trivago.

Risk and Volatility

trivago has a beta of 1.62, indicating that its stock price is 62% more volatile than the S&P 500. Comparatively, Next Technology has a beta of 2.17, indicating that its stock price is 117% more volatile than the S&P 500.

Profitability

This table compares trivago and Next Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
trivago	-41.42%	1.30%	0.73%
Next Technology	N/A	68.67%	63.83%

Summary

Next Technology beats trivago on 7 of the 11 factors compared between the two stocks.

About trivago

trivago N.V., together with its subsidiaries, operates a hotel and accommodation search platform in the United States, Germany, the United Kingdom, Canada, Japan, and internationally. It offers an online meta-search for hotels and accommodation through online travel agencies, hotel chains, and independent hotels. The company provides travel search for different types of accommodations, such as hotels, vacation rentals, and apartments; and enable advertiser access through website and apps. In addition, it offers access to its platform through various localized websites and apps in various languages. The company was incorporated in 2005 and is headquartered in Düsseldorf, Germany. trivago N.V. operates as a subsidiary of Expedia Lodging Partner Services Sarl.

About Next Technology

Next Technology Holding Inc. provides technical services and solutions through its social e-commerce platform primarily in Mainland China. It offers YCloud, a micro-business cloud intelligent internationalization system that conducts multi-channel data analysis through the learning of big data and social recommendation relationships, as well as provides users with AI fission and management systems, and supply chain systems. The company's YCloud system also provides micro-business owners with various payment methods, such as Alipay, WeChat, and UnionPay. In addition, it offers chatGPT technical services; and technical system support, software development, and services. The company serves individual and corporate users in the micro business industry. It also has operations in Hong Kong and Singapore. The company was formerly known as WeTrade Group, Inc. and changed its name to Next Technology Holding Inc in April 2024. Next Technology Holding Inc. was incorporated in 2019 and is headquartered in Beijing, the People Republic of China.