Contrasting DoubleDown Interactive (NASDAQ:DDI) & Las Vegas Sands (NYSE:LVS)

Las Vegas Sands (NYSE:LVS) and DoubleDown Interactive (NASDAQ:DDI) are both consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their risk, valuation, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Valuation & Earnings

This table compares Las Vegas Sands 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
Las Vegas Sands	$13.02 billion	2.77	$1.63 billion	$2.34	22.96
DoubleDown Interactive	$359.94 million	N/A	$102.50 million	$2.07	4.13

Las Vegas Sands has higher revenue and earnings than DoubleDown Interactive. DoubleDown Interactive is trading at a lower price-to-earnings ratio than Las Vegas Sands, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Las Vegas Sands has a beta of 0.88, indicating that its share price is 12% less volatile than the S&P 500. Comparatively, DoubleDown Interactive has a beta of 0.83, indicating that its share price is 17% less volatile than the S&P 500.

Profitability

This table compares Las Vegas Sands and DoubleDown Interactive’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Las Vegas Sands	12.50%	91.40%	9.63%
DoubleDown Interactive	28.48%	11.27%	10.32%

Analyst Ratings

This is a summary of current ratings and price targets for Las Vegas Sands and DoubleDown Interactive, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Las Vegas Sands	0	6	12	0	2.67
DoubleDown Interactive	1	1	3	0	2.40

Las Vegas Sands currently has a consensus target price of $68.55, suggesting a potential upside of 27.58%. DoubleDown Interactive has a consensus target price of $18.75, suggesting a potential upside of 119.56%. Given DoubleDown Interactive’s higher possible upside, analysts clearly believe DoubleDown Interactive is more favorable than Las Vegas Sands.

Insider & Institutional Ownership

39.2% of Las Vegas Sands shares are held by institutional investors. 1.2% of Las Vegas Sands shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Las Vegas Sands beats DoubleDown Interactive on 10 of the 13 factors compared between the two stocks.

About Las Vegas Sands

Las Vegas Sands Corp., together with its subsidiaries, develops, owns, and operates integrated resorts in Macao and Singapore. It owns and operates The Venetian Macao Resort Hotel, the Londoner Macao, The Parisian Macao, The Plaza Macao and Four Seasons Hotel Macao, Cotai Strip, and the Sands Macao in Macao, the People’s Republic of China; and Marina Bay Sands in Singapore. The company’s integrated resorts feature accommodations, gaming, entertainment and retail malls, convention and exhibition facilities, celebrity chef restaurants, and other amenities. Las Vegas Sands Corp. was founded in 1988 and is based in Las Vegas, Nevada.

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.