Head to Head Review: IAC (NASDAQ:IAC) and China Resources Enterprise (OTCMKTS:CRHKY)

China Resources Enterprise (OTCMKTS:CRHKY) and IAC (NASDAQ:IAC) are both multi-sector conglomerates companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, risk, analyst recommendations, institutional ownership, profitability, valuation and earnings.

Volatility & Risk

China Resources Enterprise has a beta of -0.07, suggesting that its share price is 107% less volatile than the S&P 500. Comparatively, IAC has a beta of 1.12, suggesting that its share price is 12% more volatile than the S&P 500.

Valuation & Earnings

This table compares China Resources Enterprise and IAC”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
China Resources Enterprise	$5.37 billion	2.06	$659.20 million	N/A	N/A
IAC	$3.81 billion	0.70	-$539.90 million	($2.73)	-13.56

China Resources Enterprise has higher revenue and earnings than IAC.

Analyst Recommendations

This is a breakdown of current recommendations for China Resources Enterprise and IAC, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
China Resources Enterprise	0	0	0	0	0.00
IAC	1	3	10	0	2.64

IAC has a consensus target price of $46.67, indicating a potential upside of 26.06%. Given IAC’s stronger consensus rating and higher possible upside, analysts plainly believe IAC is more favorable than China Resources Enterprise.

Insider & Institutional Ownership

88.9% of IAC shares are held by institutional investors. 16.1% of IAC 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 China Resources Enterprise and IAC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
China Resources Enterprise	N/A	N/A	N/A
IAC	-8.27%	-4.61%	-3.06%

About China Resources Enterprise

China Resources Beer (Holdings) Company Limited, an investment holding company, manufactures, distributes, and sells beer products in Mainland China. The company offers its products under the Nong Li, Snow, and Jinsha brands. The company was formerly known as China Resources Enterprise, Limited and changed its name to China Resources Beer (Holdings) Company Limited in October 2015. The company was incorporated in 1965 and is based in Wan Chai, Hong Kong. China Resources Beer (Holdings) Company Limited operates as a subsidiary of CRH (Beer) Limited.

About IAC

IAC Inc., together with its subsidiaries, operates as a media and internet company worldwide. The company publishes original and engaging digital content in the form of articles, illustrations, and videos and images across entertainment, food, home, beauty, travel, health, family, luxury, and fashion areas; and magazines related to women and lifestyle. It also operates a digital marketplace that connects home service professionals with consumers for repairing, remodeling, cleaning, landscaping, maintenance, and enhancement services under the Angi Ads, Angi Leads, and Angi Services brands. In addition, the company operates websites that offer general search services and information, including Ask.com, a search site with a variety of fresh and contemporary content; Reference.com that offers content across select vertical categories; Consumersearch.com, which offers content designed to simplify the product research process; and Shopping.net, a vertical shopping search site that contains a mix of search services and/or content targeted to various user or segment demographics, as well as offers direct-to-consumer downloadable desktop applications. Further, it offers Care.com, an online destination for families to connect with caregivers for their children, aging parents, pets, and homes; develops and provides subscription mobile applications across the communication, language, weather, business, health, and lifestyle verticals; a technology driven staffing platform for flexible W-2 work under the Bluecrew name; a platform to connect healthcare professionals with job opportunities under the Vivian Health name; The Daily Beast, a website dedicated to news, commentary, culture, and entertainment that publishes original reporting and opinion; and production and producer services for feature films for sale and distribution through theatrical releases and video-on-demand services. The company was formerly known as IAC/InterActiveCorp. The company is headquartered in New York, New York.