Comparing RDE (NASDAQ:GIFT) & GigaCloud Technology (NASDAQ:GCT)

GigaCloud Technology (NASDAQ:GCT) and RDE (NASDAQ:GIFT) are both small-cap business services companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, dividends, valuation, profitability and institutional ownership.

Analyst Recommendations

This is a breakdown of current recommendations for GigaCloud Technology and RDE, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GigaCloud Technology	0	0	3	1	3.25
RDE	0	0	1	0	3.00

GigaCloud Technology presently has a consensus price target of $51.33, indicating a potential upside of 158.09%. RDE has a consensus price target of $4.00, indicating a potential upside of 257.14%. Given RDE’s higher probable upside, analysts plainly believe RDE is more favorable than GigaCloud Technology.

Insider & Institutional Ownership

34.9% of GigaCloud Technology shares are owned by institutional investors. 43.0% of GigaCloud Technology shares are owned by insiders. Comparatively, 20.5% of RDE shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares GigaCloud Technology and RDE’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GigaCloud Technology	11.75%	40.32%	13.94%
RDE	N/A	-62.87%	-38.24%

Risk & Volatility

GigaCloud Technology has a beta of 1.94, meaning that its stock price is 94% more volatile than the S&P 500. Comparatively, RDE has a beta of -0.72, meaning that its stock price is 172% less volatile than the S&P 500.

Valuation and Earnings

This table compares GigaCloud Technology and RDE”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GigaCloud Technology	$703.83 million	1.16	$94.11 million	$3.16	6.29
RDE	$97.01 million	0.30	N/A	N/A	N/A

GigaCloud Technology has higher revenue and earnings than RDE.

Summary

GigaCloud Technology beats RDE on 11 of the 12 factors compared between the two stocks.

About GigaCloud Technology

GigaCloud Technology Inc. provides end-to-end B2B ecommerce solutions for large parcel merchandise in the United States and internationally. The company offers GigaCloud Marketplace integrates product discovery to payments to logistics tools into one easy-to-use platform. Its marketplace connects manufacturers primarily in Asia with resellers in the United States, Asia, and Europe to execute cross-border transactions across furniture, home appliance, fitness equipment, and other large parcel categories. The company was formerly known as Oriental Standard Human Resources Holdings Limited and changed its name to GigaCloud Technology Inc. in February 2021. GigaCloud Technology Inc. was incorporated in 2006 and is headquartered in El Monte, California.

About RDE

RDE, Inc. owns and operates a restaurant deal space in the United States. The company operates Restaurant.com that connects digital consumers, businesses, and communities with dining and merchant deal options at approximately 182,500 restaurants and retailers to approximately 7.8 million customers. It sells discount certificates for restaurants, as well as complementary entertainment and travel offerings, and consumer products on behalf of third-party merchants. The company is based in Schaumburg, Illinois.