Critical Review: Viomi Technology (NASDAQ:VIOT) versus Lyft (NASDAQ:LYFT)

Viomi Technology (NASDAQ:VIOT) and Lyft (NASDAQ:LYFT) are both computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their risk, profitability, dividends, institutional ownership, valuation, earnings and analyst recommendations.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Viomi Technology and Lyft, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Viomi Technology	1	0	0	0	1.00
Lyft	4	20	13	0	2.24

Lyft has a consensus target price of $19.40, indicating a potential upside of 36.62%. Given Lyft’s stronger consensus rating and higher possible upside, analysts clearly believe Lyft is more favorable than Viomi Technology.

Earnings & Valuation

This table compares Viomi Technology and Lyft”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Viomi Technology	$347.23 million	0.15	$20.26 million	N/A	N/A
Lyft	$6.32 billion	0.85	$2.84 billion	$6.85	2.07

Lyft has higher revenue and earnings than Viomi Technology.

Insider & Institutional Ownership

1.2% of Viomi Technology shares are held by institutional investors. Comparatively, 83.1% of Lyft shares are held by institutional investors. 34.3% of Viomi Technology shares are held by company insiders. Comparatively, 0.9% of Lyft 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.

Profitability

This table compares Viomi Technology and Lyft’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Viomi Technology	N/A	N/A	N/A
Lyft	43.82%	-2.09%	-0.54%

Volatility and Risk

Viomi Technology has a beta of 0.4, indicating that its stock price is 60% less volatile than the S&P 500. Comparatively, Lyft has a beta of 1.8, indicating that its stock price is 80% more volatile than the S&P 500.

Summary

Lyft beats Viomi Technology on 9 of the 12 factors compared between the two stocks.

About Viomi Technology

Viomi Technology Co., Ltd, through its subsidiaries, develops and sells Internet-of-things-enabled (IoT-enabled) smart home products in the People's Republic of China. The company offers IoT-enabled smart home products, including smart water purification systems; smart kitchen products, such as refrigerators, oven steamers, dishwashers, range hoods, and gas stoves; and other smart products comprising air conditioning systems, washing machines, water heaters, smart water kettles, sweeper robots, smart locks, and other smart devices, as well as blenders. It also provides a suite of complementary consumable products and small appliances, such as portable fans, rice cookers, water quality meters, water filter pitchers, stainless-steel insulated water bottles, smart toilet, and food waste disposals; and value-added services. The company sells its products directly to consumers through its online platform, Viomi mobile app, and e-commerce channels, including Youpin, JD.com, Tmall, Pinduoduo, and others, as well as offline experience stores. Viomi Technology Co., Ltd has a strategic partnership with Xiaomi Corporation. The company was founded in 2014 and is headquartered in Guangzhou, China.

About Lyft

Lyft, Inc. operates a peer-to-peer marketplace for on-demand ridesharing in the United States and Canada. It operates multimodal transportation networks that offer access to various transportation options through the Lyft platform and mobile-based applications. The company's platform provides a ridesharing marketplace, which connects drivers with riders; Express Drive, a car rental program for drivers; and a network of shared bikes and scooters in various cities to address the needs of riders for short trips. It also offers centralized tools and enterprise transportation solutions, such as concierge transportation solutions for organizations; Lyft Pink subscription plans; Lyft Pass commuter programs; first-mile and last-mile services; and university safe rides programs. The company was formerly known as Zimride, Inc. and changed its name to Lyft, Inc. in April 2013. Lyft, Inc. was incorporated in 2007 and is headquartered in San Francisco, California.