Digital China (OTCMKTS:DCHIF) & IonQ (NYSE:IONQ) Head to Head Analysis

Digital China (OTCMKTS:DCHIF) and IonQ (NYSE:IONQ) are both computer and technology companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, profitability, risk, dividends, earnings and valuation.

Analyst Recommendations

This is a summary of recent ratings and target prices for Digital China and IonQ, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Digital China	0	0	0	0	0.00
IonQ	2	5	7	0	2.36

IonQ has a consensus target price of $58.33, suggesting a potential downside of 29.10%. Given IonQ’s stronger consensus rating and higher probable upside, analysts plainly believe IonQ is more favorable than Digital China.

Volatility and Risk

Digital China has a beta of -0.18, suggesting that its share price is 118% less volatile than the S&P 500. Comparatively, IonQ has a beta of 2.6, suggesting that its share price is 160% more volatile than the S&P 500.

Valuation & Earnings

This table compares Digital China and IonQ”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Digital China	$2.32 billion	0.28	-$35.32 million	N/A	N/A
IonQ	$52.37 million	466.34	-$331.65 million	($2.01)	-40.93

Digital China has higher revenue and earnings than IonQ.

Institutional and Insider Ownership

41.4% of IonQ shares are owned by institutional investors. 5.2% of IonQ shares are owned 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.

Profitability

This table compares Digital China and IonQ’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Digital China	N/A	N/A	N/A
IonQ	-885.21%	-67.11%	-57.89%

Summary

IonQ beats Digital China on 7 of the 12 factors compared between the two stocks.

About Digital China

Digital China Holdings Limited, an investment holding company, provides big data products and solutions for government and enterprise customers primarily in Mainland China. The Big Data Products and Solutions segment sells data software products focused on spatial-temporal big data and artificial intelligence. This segment offers data fabric comprising Yan Cloud DaaS, a software platform that supports data sharing, interoperability, and integration of isolated digital islands; and Sysnet, an integration platform that integrates various data, applications, and services. It also provides data hub, including data management, security, innovation, and aggregation products; and digital twin, which constructs a digital replica of the physical city, as well as data solutions for city and supply chain digital native transformation, and fintech. The Software and Operating Services segment offers end-to-end data-enabled supply chain operating services, as well as software development, testing, operation, and maintenance services. The Traditional and Localization Services segment provides systems integration services, e-commerce supply chain services, and software and operating services. The segment also engages in the investments, property sales and rental, and other businesses. The company also engages in the provision of logistics, systems integration, and manpower services, as well as engages in finance lease business and investment holding activities. Digital China Holdings Limited was incorporated in 2000 and is headquartered in Wan Chai, Hong Kong.

About IonQ

IonQ, Inc. engages in the development of general-purpose quantum computing systems in the United States. It sells access to quantum computers of various qubit capacities. The company makes access to its quantum computers through cloud platforms, such as Amazon Web Services (AWS) Amazon Braket, Microsoft’s Azure Quantum, and Google’s Cloud Marketplace, as well as through its cloud service. It also provides contracts associated with the design, development, and construction of specialized quantum computing hardware systems; maintenance and support services; and consulting services related to co-developing algorithms on quantum computing systems. The company was founded in 2015 and is headquartered in College Park, Maryland.