Critical Analysis: HealthStream (NASDAQ:HSTM) and Global Mofy Metaverse (NASDAQ:GMM)

HealthStream (NASDAQ:HSTM) and Global Mofy Metaverse (NASDAQ:GMM) are both small-cap computer and technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, valuation, analyst recommendations and dividends.

Insider and Institutional Ownership

69.6% of HealthStream shares are owned by institutional investors. Comparatively, 2.5% of Global Mofy Metaverse shares are owned by institutional investors. 20.6% of HealthStream shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Dividends

HealthStream pays an annual dividend of $0.11 per share and has a dividend yield of 0.4%. Global Mofy Metaverse pays an annual dividend of $0.79 per share and has a dividend yield of 196.0%. HealthStream pays out 19.0% of its earnings in the form of a dividend.

Earnings and Valuation

This table compares HealthStream and Global Mofy Metaverse”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HealthStream	$285.24 million	3.21	$15.21 million	$0.58	51.91
Global Mofy Metaverse	$33.99 million	0.31	$6.55 million	N/A	N/A

HealthStream has higher revenue and earnings than Global Mofy Metaverse.

Analyst Recommendations

This is a breakdown of recent ratings for HealthStream and Global Mofy Metaverse, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HealthStream	0	2	2	1	2.80
Global Mofy Metaverse	0	0	0	0	N/A

HealthStream currently has a consensus price target of $30.00, indicating a potential downside of 0.92%. Given HealthStream’s higher possible upside, analysts plainly believe HealthStream is more favorable than Global Mofy Metaverse.

Profitability

This table compares HealthStream and Global Mofy Metaverse’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HealthStream	6.26%	5.19%	3.55%
Global Mofy Metaverse	N/A	N/A	N/A

Summary

HealthStream beats Global Mofy Metaverse on 11 of the 13 factors compared between the two stocks.

About HealthStream

HealthStream, Inc. provides Software-as-a-Service (SaaS) based applications for healthcare organizations in the United States. The company’s solutions help healthcare organizations in meeting their ongoing clinical development, talent management, training, education, assessment, competency management, safety and compliance, and scheduling, as well as provider credentialing, privileging, and enrollment needs. It offers hStream, a technology platform that powers a range of healthcare workforce solutions. The company provides its solutions to customers across a range of entities within the healthcare industry, including private, not-for-profit, and government entities, as well as pharmaceutical and medical device companies through its direct sales teams. The company was incorporated in 1990 and is headquartered in Nashville, Tennessee.

About Global Mofy Metaverse

Global Mofy Metaverse Limited, through its subsidiaries, provides virtual content production, digital marketing, and digital assets development services for the metaverse industry in the People's Republic of China. It offers services for visual effect design, content development, production, and integration based on customers specific needs; and 3D rebuilt and artificial intelligence technologies using its Mofy Lab technology platform. The company also grants use right of digital assets for various applications, such as movies, TV series, AR/VR, animation, advertising, and gaming. Global The company was incorporated in 2021 and is headquartered in Beijing, the People's Republic of China.